Balance Sheet Flashcards
1
Q
Assets
A
Owns
2
Q
Liabilities
A
Owes
3
Q
Owners equity
A
Money contributed to the business by the owners, retained profit
4
Q
Non-current liabilities
A
Long term (25 years) ie mortgage
5
Q
Current assets
A
Turned into cash within a year ie stock (inventory, cash)
6
Q
Non current assets
A
(Long term) property, machinery (fittings)
7
Q
Current liabilities
A
Short term (less than a year) accounts payable
8
Q
Balance sheet
A
Values of the business and each side must be equal
