Purpose of a statement if financial position Flashcards
1
Q
shows overall…
A
value of a business- legal requirement of limited companies to prepare one
2
Q
investors can use…
A
it to determine whether they will get a good return on their investment
3
Q
used by suppliers…
A
and creditors to determine the level of risk involved in supplying/lending
4
Q
used to analyse…
A
ratios which can be compared with previous years to aid decision making
5
Q
used to show value of…
A
all current assets, non-current assets, liabilities and non- current liabilities
