Statement of Financial Position IGCSE

Which one of the following statements about balance sheets is correct?

• They show the revenue, costs and profit of a business

• They forecast the cash flow of the business

• They contain details of the assets and liabilities of a business

• They show the revenue, profit a d assets of a business

Which one of the following statements is correct?

• Assets are items of value owed by a business

• Liabilities are items of value owned by a business

• Share capital is the total value of the business

• Assets are items of value owned by the business

A statement of financial position can show all of the following except:

• how a business is financing its activities

• the value of items owned by a business

• the value of inventories which could be sold to raise finance

• the profitability of the business

All if the following would be found on the fixed assets section of a firm's statement of financial position, except

• vehicles

• buildings

• machinery

• debtors

Which of the following is a current asset?

• buldings

• creditors

• machinery

• debtors

All of the following would be found on the current liabilities section except

• overdraft

• account payable

• account receivable

• tax

Working capital is calculated by

• current assest - fixed assets

• current liabilities - current assets

• fixed assets - current assets

• current assets - current liabilities

Capital employed is obtained by adding together shareholders funds and long term liabilities. Which of the following would not be included in this addition?

• Profit and loss reserves

• Loans

• Working capital

• Share capital

The value of shareholders equity is

• 65

• 70

• 80

• 135

The value of working capital is

• 10

• 45

• 55

• 65