Grade 7 EMS | Term 2 Lesson 2 | Income and Expenses

Stationery is an example of a/an:

• Asset

• Expense

• Income

• Liability

Valuable possessions of a business are known as:

• Capital

• Assets

• Liabilities

• Income

People who owe the business money are known as:

• Creditors

• Bankers

• Wholesalers

• Debtors

When profits increase then the following increases:

• Owner’s equity

• Assets

• Creditors

• Cash

An example of a current liability is:

• Rent income

• Petty cash

• Creditors

• Wages

(Match the concept that best suits the definition)

Transactions that are recorded daily.

• Transactions

• Financial records

• Budget

• Banking sector

• Income

(Match the concept that best suits the definition)

When two parties take action. The one buys and the other sells.

• Transactions

• Financial records

• Budget

• Banking sector

• Income

(Match the concept that best suits the definition)

Money earned by the business e.g. for rendering a service.

• Transactions

• Financial records

• Budget

• Banking sector

• Income

(Match the concept that best suits the definition)

A plan on how to spend planned income.

• Transactions

• Financial records

• Budget

• Banking sector

• Income

(Match the concept that best suits the definition)

Banks operate in the...

• Transactions

• Financial records

• Budget

• Banking sector

• Income