Business Activities #1

______is a financial statement that reports a business's assets, liabilities, and capital on a specific date.

• Balance Sheet
• Income Statement
• Statement of Cash Flows
• None of the Above

_______are anything of value owned, such as cash and buildings.

• Liabilities
• Assets
• Income Statement
• None of the Above

____are claims against assets, (debts)

• capital
• assets
• liabilities
• none of the above

________is the movement of cash into and out of a business.

• Cash Flow
• Balance Sheet
• Income Statement
• Tim Hall for President

The Income Statement lists a businesses:

• Assets and Expenses
• Owner's Equity and Revenue
• Revenue, cost of goods and Expenses
• Expenses and Net Assets

An expense is...

• money a business spends on the general operation of business
• money the business owes to other organisations and people
• money Owed to the Business
• None of the above

Net Profit is:

• Assets less Liabilities
• Gross Profit less Expenses
• Revenue less Liabilities
• Liabilities less Assets

A Net Profit occurs if:

• Gross Profit is greater than expenses

• Expenses greater than Gross Profit

• None of the listed choices

Which one is not an expense?

• raw materials
• production costs
• commission received
• insurance

How could a business improve net profit?

• reduce expenses
• increase COGS
• reduce sales
• increase expenses