Chapter 4 - Financial Statements And The Extended Trial Balance

Question 1

What is the best software to create an Extended trial balance (ETB) ?

Answer 1

Spreadsheet software as adjustments made will flow through all the columns

Question 2

The time period covered by the statement of profit or loss is also known as ?

Answer 2

an accounting period

Question 3

what are the most common lengths of time that an accounting period covers ?

HINT - There are 4

Answer 3

*Monthly
*Quarterly
*Half yearly
*Annually

Question 4

Revenue expenditure (The payment of expenses) is shown on the statement of _____________ ?

one of the two financial accounting statements

Answer 4

profit or loss

Question 5

Capital expenditure (The payment of non-current assets) is shown on the statement of ____________?

one of the two financial accounting statements

Answer 5

Statement of financial position

Question 6

For the purpose of financial accounting the inventory of goods for resale is valued at the _______ of each financial year ?

Answer 6

End