Introduction to Accounting in Sports Business

Which of the following is a key function of financial management within a sports club?

• Player recruitment

• Preparing budgets

• Marketing campaigns

• Event planning

Who uses accounting reports to aid planning and control of business operations?

• Fans

• Managers

• Players

• Coaches

The Balance Sheet/Statement of Financial Position reports the financial position of a business at a specific point in time. Which of the following is NOT listed on the Balance Sheet?

• Assets

• Liabilities

• Revenue

• Equity

What is the purpose of the Income Statement/Statement of Comprehensive Income?

• Measures the financial position of a business at a specific point in time.

• Reports cash receipts and payments.

• Measures the profit or loss for a period.

• Records all business transactions.

Which accounting principle requires that financial records be kept separate from the owner's personal records?

• Going Concern

• Monetary

• Historical Cost

• Economic Entity

Which report provides information on the net cash flow of the business for a period?

• Income Statement

• Balance Sheet

• Statement of Cash Flows

• Statement of Owner’s Equity

In accounting, which of the following is considered an asset?

• Bank overdrafts

• Accounts payable

• Motor vehicles

• Loans

Which business structure involves an individual who controls and manages a business and is solely liable for all the business debts?

• Partnership

• Corporation

• Sole Trader

• Cooperative

The Statement of Cash Flows reports the cash receipts and payments and therefore the net cash flow of the business for a period.

• True

• False

Liabilities are amounts owed by a business to outsiders.

• True

• False