What is a definition of an Asset?

• What the owner starts with

• What is owed to other people

• What is owned by the business

What is a good definition of Capital?

• All that is owned by the business

• All that is owned by the owner

• The amount that the owner has put into the business

A good definition of Liabilities is

• All that is owned by the business

• All that is owed by the business

• What the owner has put into the business

The Accounting Equation is

• Assets = Capital + Liabilities

• Capital = Assets + Liabilities

• Assets + Capital = Liabilities

• Bank = Owner - Loan

Which of the following is an Asset?

• furniture owned by the business

• What the owner put into the business

• A loan

Which of the following is a Liability?

• What the owner put in

• Owner’s personal money

• A loan from A Azzopardi

• A loan to D Zammit