3.4 Final Accounts (Profit and Loss Statement/Depreciation)

Question 1

Profit and Loss Statement

Answer 1

A listing of sales and expenses to indicate the amount of profit or loss you are making as a business.

Question 2

3 Parts to a Statement

Answer 2

Trading Account, Profit and Loss Account, Appropriation Account

Question 3

Depreciation Formula (Straight Line Method)

Answer 3

Annual Depreciation = (Purchase cost - residual values)/Lifespan

Question 4

ACRONYM

Answer 4

S, C, G, E, P, IPT, #PFP, D, RP