Elements of Financial Statements

Elements of Financial Statements

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Instructions for Activity (Page 2)

In the subsequent slides, you will be exposed to flashcards that will introduce you to items that are classified as asset, liability, equity, income or expense.

Associate the items to the classifications and fill in the answers on your worksheet when the answers are revealed.

Multiple Choice

Property

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Stationery

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Motor vehicles

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Interest

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Cash at bank

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Capital

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Discount allowed

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Inventory

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Insurance

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Long-term borrowing

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Office Equipment

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Cost of sales

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Cash in hand

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Motor vehicle expenses

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Rent income

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Office expenses

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Rent and rates

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Sales revenue

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Trade receivables

• Asset

• Liabiilty

• Equity

• Income

• Expense

Multiple Choice

Wages and salaries

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Short-term borrowing

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Fixtures and fittings

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Trade payables

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Service fee revenue

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Profit or loss for the period

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Commission income

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Discount received

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Drawings

• Asset

• Liability

• Equity

• Income

• Expense

Multiple Choice

Utilities

• Asset

• Liability

• Equity

• Income

• Expense

Notes (Page 3)

Attempt example 1 and 2 on your own now.