Final accounts

Overheads and other costs of production

The cost of goods sold

The current value of the organization

The net profit(or loss)during a trading period

Can distribute a portion of the profits to shareholders

Has a positive net profit balance

Has made an overall loss

Has performed well on financial grounds

Appropriation account

Balance sheet

Profit and loss account

Trading account

Cost of goods sold

Expenses

Machinery and equipment

Overheads

The numerical difference between retained profit and expenses

The numerical difference between tax and interest payments

The portion of net profits after interest and tax that is distributed to shareholders

The portion of net profits that is reinvested by the business

Appears on the trading account

Calculated as sales revenue minus the cost of goods sold

Calculated by total revenue minus the cost of sales

Expressed as a percentage to allow for historical and inter-firm comparison

Costs of non-trading activities

Direct costs of trading activities

Direct costs of non-trading activities

Indirect costs of trading activities

All of the below

Cutting advertising expenditure

Reducing management salaries

Using cheaper suppliers

Current liabilities

Debts

Liabilities

Net assets

Assets owned by a business for more than 12 months

Assets that a business intends to keep for more than 12 months

Assets that generate cash sales for a firm

Intangible assets such as brands, logos, and slogans