Worksheets20.2: Preparing Financial Statements
Total questions: 20
Worksheet time: 16mins
What is the purpose of the Statement of Financial Position?
inform stakeholders the assets and liabilities of business
provides information on how resources are obtained and used and the claim by the owner on the net assets of the business at a point in time.
provides information on how resources are obtained and used in the business at a point in time.
inform stakeholders the owner's equity of business
Which account is classified as an Expense?
Auto Loan
college Fund
Bank Account
Cell phone bill
Which account is classified as an Asset?
Concert Tickets
Babysitting payment
Allowance
Cash
Which account is classified as an Liability?
Concert Tickets
Bank Account
Credit Card
Bus Pass
The financial statements of a business enterprise include:
_________________
Balance sheet
Statement of Profit and loss
Cash flow statement
All the above
The financial statement that reports whether the business earned a profit and also lists the revenues and expenses is called the:
Statement of Financial position
Statement of Changes in Equity
Statement of Cash Flows
Income Statement
Which Statement would give users information on how cash has been utilised in the company?
Statement of Cash Flow
Statement of Financial Position
Statement of Changes in Equity
Statement of Consolidated Income
Gross profit is calculated by...
Revenue - Total Costs
Revenue + Variable Costs
Revenue - Cost of Sales
Revenue - Fixed Costs
How do you calculate net profit?
Gross profit - expenses
Revenue - total costs
Gross profit - variable costs
Revenue - indirect costs
COGS stands for
cost of goods sales
cost of goods serviced
cost of goods sold
Revenue = 1000
Cost of Goods Sold = 200
Expenses = 300
Gross Profit = ?
800
500
700
300
Revenue = 1000
Cost of Goods Sold = 200
Expenses = 300
Net Profit = ?
800
500
700
300
Net Profit = 500
Revenue = 2000
Expenses = 1000
Cost of Goods Sold = ?
1500
1000
3000
500
Which one is right?
Asset = Owner's equity + Liability
Asset = Owner's equity - Liability
Asset + Owner's equity = Liability
Asset + Owner's equity = expense
Mr.W has current assets of $500 and total assets of $1500. ABC has current liabilities of $300 and total liabilities of $800. What is the amount of ABC's owner's equity
200
700
900
800
Which of the following would normally be a current liability?
Note Payable Due In Two Years
Unearned Revenue
The amount of cash moving into and out of a business
Cash Flow
Net Worth
purchasing an asset would be an example of
cash inflow
cash outflow
Based on the above information, what amount will the corporation report as Net Cash Provided by Operating Activities on the cash flow statement?
65, 000
125, 000
155, 000
