Y10 Accounting - C9 Financial Statements (Part B)

What does a statement of financial position show?

• Only the owner's investment

• Both assets and liabilities of a business

• Only the assets of a business

• Only the liabilities of a business

What are tangible non-current assets?

• Long-term assets obtained for use

• Assets that cannot be seen or touched

• Assets that are easily convertible to cash

• Short-term assets

Which of the following is an example of a tangible non-current asset?

• Land and buildings

• Brand names

• Goodwill

• Trade receivables

What is liquidity?

• The value of an asset

• The amount owed by a business

• The ease of converting an asset into cash

• The owner's investment in the business

Where are intangible non-current assets shown in a statement of financial position?

• After tangible non-current assets

• Before tangible non-current assets

• They are not shown in the statement

• At the bottom of the statement

Which of the following is a current asset?

• Inventory

• Land and buildings

• Long-term loan

• Mortgage

What type of liabilities must be payable within the next 12 months?

• Non-current liabilities

• Current liabilities

• Long-term liabilities

• Intangible liabilities

What does capital represent in a statement of financial position?

• The cash available in the business

• The total assets of the business

• The owner's investment in the business

• The total liabilities of the business

Which format can a statement of financial position be prepared in?

• Random format

• Diagonal format

• Horizontal format

• Circular format

What is an example of a non-current liability?

• Bank overdraft

• Long-term loan

• Cash

• Trade payables