CH1-1. Statement of Financial Position : Assets, Liabilities, Shareholder's Equity

Question 1

Assets

Answer 1

Economic Resource

8 parts

Question 2

Cash

Answer 2

Assets

Amount of cash in company’s back account

Question 3

Short-term Investments

Answer 3

Assets

Investments in highly liquid assets

Question 4

Accounts Recievable

Answer 4

Assets

Amounts owed by Customers from prior sales

Question 5

Inventories

Answer 5

Assets

Products Stored, not sold

Question 6

Prepaid Expenses

Answer 6

Assets

Rent and Insurance paid in advance

Question 7

Property and Equipment

Answer 7

Assets

Question 8

Goodwill

Answer 8

Assets

Question 9

Other Assets

Answer 9

Assets

Variety

Question 10

Liabilities

Answer 10

Financing from Creditors (e.g. amounts owed to suppliers, employees, banks)

7 parts

Question 11

Accounts Payable

Answer 11

Liabilities

Amounts owed to suppliers for purchase of goods

Question 12

Accrued Liabilities

Answer 12

Liabilities

Amounts owed to supplier for services

Question 13

Provisions

Answer 13

Liabilities

Estimated liabilities that are not known with certainty

Question 14

Short-term Borrowings

Answer 14

Liabilities

Amounts owed to lenders within one year

Question 15

Income Tax Payable

Answer 15

Liabilities

Tax owed to government

Question 16

Long-term Debt

Answer 16

Liabilities

Amounts owed on written debt contracts payable after one year

Question 17

Other Liabilities

Answer 17

Liabilities

Variety

Question 18

Shareholder’s Equity

Answer 18

Financing from Shareholders

3 Parts

Question 19

Contributed Capital

Answer 19

Shareholder’s Equity

Amount invested by Shareholders

Question 20

Retained Earnings

Answer 20

Shareholder’s Equity

Past earnings not distributed to shareholders

Question 21

Other components

Answer 21

Shareholder’s Equity

Variety