5.4 Balance sheet Flashcards
1
Q
Types of assets
A
Current
Non current
2
Q
Current assets (liquid assets)
A
Used for immediate payments and running costs within 12 months
3
Q
Non current asset (fixed costs)
A
Can be converted in cash immediately
(usually kept for more than a year and it loses its value over time)
4
Q
shareholders funds
A
Shareholders’ funds refers to the amount of equity in a company, which belongs to the shareholders.
5
Q
Share capital
A
Share capital refers to the amount of money that shareholders have committed to the company.
