The Cupcake Factory

What is trading inventory?

• Investment for your business

• Goods you buy to sell for your business

• Long term loan

• Cash for the business

Bank charges is recorded as a/an

• expense

• asset

• income

• liability

Drawings is

• when the owner pays for the business electricity and water

• when the owner pays for her son's golf fees

• when the owner pays his baker for the month

• when the owner invests in shares

The business needs insurance

• to invest in shares

• to safeguard the business incase something happens

• to pay for the bank overdraft

A fixed deposit is

• a deposit paid for land and buildings

• is shares in a company

• is an investment account with a fixed term

A creditor is

• someone you owe money to

• someone who owes you money

• someone who has bought on credit

A debtor is

• someone who owes business money

• someone who you owe money to

• someone who takes out debt

A bank overdraft is

• a fixed deposit

• an expense

• when you borrow money from your current account

• an asset

A current account is

• a savings bank account

• an account used for daily transactions

• is an investment account

Interest on a bank overdraft

• asset

• liability

• expense

• income