Understanding Financial Position Statements

Understanding Financial Position Statements

12th Grade

15 Qs

quiz-placeholder

Similar activities

ThinkWave 2.0

ThinkWave 2.0

10th Grade - University

10 Qs

Profit/Statement of Comprehensive Income Exam Questions

Profit/Statement of Comprehensive Income Exam Questions

12th Grade

10 Qs

Types of Business Ownership

Types of Business Ownership

11th - 12th Grade

20 Qs

QUIZ 3 : TOPIC 11 [INCOMPLETE RECORDS & SINGLE ENTRY]

QUIZ 3 : TOPIC 11 [INCOMPLETE RECORDS & SINGLE ENTRY]

1st Grade - University

15 Qs

ACCTG 22 Final Quiz

ACCTG 22 Final Quiz

12th Grade

20 Qs

Edexcel business A level gce year 1 revision

Edexcel business A level gce year 1 revision

12th Grade

20 Qs

Commercial Bank

Commercial Bank

12th Grade

10 Qs

Financial Services Basics

Financial Services Basics

9th Grade - Professional Development

14 Qs

Understanding Financial Position Statements

Understanding Financial Position Statements

Assessment

Quiz

Business

12th Grade

Practice Problem

Hard

Created by

Christian Obe

FREE Resource

AI

Enhance your content in a minute

Add similar questions
Adjust reading levels
Convert to real-world scenario
Translate activity
More...

15 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following is considered a non-current asset on a statement of financial position?

Inventory

Trade receivables

Property, plant, and equipment

Cash and cash equivalents

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the primary difference between current and non-current liabilities?

Current liabilities are due within one year, while non-current liabilities are due after one year.

Current liabilities are larger in amount than non-current liabilities.

Non-current liabilities are always interest-bearing, while current liabilities are not.

Current liabilities are always secured, while non-current liabilities are unsecured.

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How is equity calculated in a statement of financial position?

Total assets minus total liabilities

Total liabilities minus total assets

Current assets minus current liabilities

Non-current assets minus non-current liabilities

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which financial ratio is used to assess a company's liquidity?

Debt to equity ratio

Current ratio

Return on equity

Price to earnings ratio

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the impact of depreciation on the statement of financial position?

It increases the value of non-current assets.

It decreases the value of non-current assets.

It has no impact on the statement of financial position.

It increases the value of current liabilities.

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following is a consequence of poor cash flow management?

Increased profitability

Improved credit rating

Inability to meet short-term obligations

Higher equity value

7.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What does the quick ratio measure?

The ability to pay off all liabilities with all assets

The ability to pay off current liabilities with current assets excluding inventory

The profitability of a company

The efficiency of asset utilisation

Create a free account and access millions of resources

Create resources

Host any resource

Get auto-graded reports

Google

Continue with Google

Email

Continue with Email

Classlink

Continue with Classlink

Clever

Continue with Clever

or continue with

Microsoft

Microsoft

Apple

Apple

Others

Others

Already have an account?