H Accs - Starter 2

Trade Receivables appear in which financial statement?

• Income Statement

• Statement of FInancial Position

• Both

Which financial statement shows the Cost of Sales?

• Income Statement

• Statement of Financial Position

• Both

Which financial statement includes Closing Inventory?

• Income Statement

• Statement of Financial Position

• Both

A Trade ___________ is money that the business owes to suppliers

How is a Trade Receivable treated in a financial statement?

• Added as a current asset in SoFP

• Deducted as a current liability in the SoFP

• Added as a source of additional income in the Income Statement

• Deducted as an expense in the Income Statement

How is a Trade Payable treated in a financial statement?

• Added as a current asset in SoFP

• Deducted as a current liability in the SoFP

• Added as a source of additional income in the Income Statement

• Deducted as an expense in the Income Statement

How is a Discount Received treated in a financial statement?

• Added as a current asset in SoFP

• Deducted as a current liability in the SoFP

• Added as a source of additional income in the Income Statement

• Deducted as an expense in the Income Statement

How is a Carriage Outwards treated in a financial statement?

• Added as a current asset in SoFP

• Deducted as a current liability in the SoFP

• Added as a source of additional income in the Income Statement

• Deducted as an expense in the Income Statement

When creating a provision for doubtful debt, this is calculated as a percentage of which figure?

• Trade Receviebles

• Trade Payables

• Expenses

• Cost of Sales

How is Carriage Inwards treated in an Income Statement?

• Included in Cost of Sales

• Included in Expenses

• Included in Other Income