"Dear friend the difference between the next and continue verb is that in the continue verb it is used for a situation where there in no eof condition that is the records are to be accessed again and again in an file , whereas in the next verb the indexed file is accessed sequentially ,hence when index clase is accessed sequentially read next record command is used,i hope that is satisfactory."
This is completely inaccurate. You are confusing the NEXT in READ ... NEXT with NEXT SENTENCE, which is a totally different usage.
Essentially, CONTINUE causes a transfer of control to the first logical statement after the relevant scope delimiter (or period), and NEXT SENTENCE causes a transfer of control the the first logical statement after the next period.
Note that NEXT SENTENCE can only be used in IF and SEARCH statements, and has been declared "archaic" by the COBOL Standards Committee. This means it will eventually be deleted from the language.
Stephen J Spiro
Member, ANSI COBOL Standards Committee