Business Studies - 0450 CIE

The Main Elements Of A Statement Of Financial Position:

Gbogbo ọrọ náà

If you could take a photograph of everything a business owns and owes on one day, you would have a statement of financial position. It is one of the two main financial statements, and it shows what a firm is worth and how it has been financed.

This lesson explains the main classifications of assets and liabilities, with examples, and how they fit together. By the end you will be able to identify and classify the items that appear on a statement of financial position.

Ebumnobi

  1. The main classifications of assets and liabilities, using examples

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Akwụkwọ Ọmụmụ

The statement of financial position tells owners, lenders and investors what a business owns, what it owes and how much the owners' stake is worth. Reading it correctly is essential, and examiners test whether you can classify items correctly.

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Ekele diri gi maka imecha ihe karịrị na The Main Elements Of A Statement Of Financial Position:. Ugbu a na ị na-enyochakwa isi echiche na echiche ndị dị mkpa, ọ bụ oge iji nwalee ihe ị ma. Ngwa a na-enye ụdị ajụjụ ọmụmụ dị iche iche emebere iji kwado nghọta gị wee nyere gị aka ịmata otú ị ghọtara ihe ndị a kụziri.

Ị ga-ahụ ngwakọta nke ụdị ajụjụ dị iche iche, gụnyere ajụjụ chọrọ ịhọrọ otu n’ime ọtụtụ azịza, ajụjụ chọrọ mkpirisi azịza, na ajụjụ ede ede. A na-arụpụta ajụjụ ọ bụla nke ọma iji nwalee akụkụ dị iche iche nke ihe ọmụma gị na nkà nke ịtụgharị uche.

Jiri akụkụ a nke nyocha ka ohere iji kụziere ihe ị matara banyere isiokwu ahụ ma chọpụta ebe ọ bụla ị nwere ike ịchọ ọmụmụ ihe ọzọ. Ekwela ka nsogbu ọ bụla ị na-eche ihu mee ka ị daa mba; kama, lee ha anya dị ka ohere maka ịzụlite onwe gị na imeziwanye.

  1. Which is a current asset? A. buildings B. machinery C. inventories D. a 5-year loan Answer: C
  2. Which is a non-current (fixed) asset? A. cash B. trade receivables C. delivery vehicles D. inventories Answer: C
  3. A bank overdraft is classified as a: A. non-current asset B. current asset C. current liability D. non-current liability Answer: C
  4. Owners' equity equals: A. total assets plus total liabilities B. total assets minus total liabilities C. current assets only D. total liabilities only Answer: B
  5. A long-term bank loan is a: A. current asset B. non-current asset C. current liability D. non-current liability Answer: D

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