Chapter#5C: The Balance Sheet Flashcards
1
Q
What is the Balance Sheet?
A
it represents the assets on hand and the liabilities owed by the company
2
Q
What are Current Assets?
A
They represent assets that can be turned into cash with one year
3
Q
What are Capital Assets?
A
assets owned by the company,
4
Q
What are Current Liabilities
A
those amounts owed by the company that are due within one year of the balance sheet date
5
Q
What are Long Term Liabilities
A
includes all debt that is due in more than one year
6
Q
What is Owners Equity
A
shows the closing balance in the owner’s capital account
