sofp sections

Question 1

what’s the order of the sections in a statement of financial position

Answer 1

non current assets
current assets
less current liabilities
less non current liabilities
financed by

Question 2

non current assets

Answer 2

property
fixtures and fittings
machinery
equipment
motor vehicles

Question 3

current assets

Answer 3

closing inventory
trade receivables
less provision for bad debts
vat (ONLY IF DR)
bank (ONLY IF DR OR NOT OVERDRAFT)
cash
any expenses receivable

UP TO LESS PROVISION FOR BAD DEBTS HAS THE BE THAT ORDER

Question 4

current liabilities

Answer 4

trade payables
bank overdraft (ONLY IF CR OR IS OVERDRAFT)
vat (ONLY IF CR)
any expenses payable

REMEMBER WORKING EQUITY AND NET ASSETS EMPLOYED LABELS

Question 5

non current liabilities

Answer 5

loan

REMEMBER NET ASSETS LABEL AT END

Question 6

financed by

Answer 6

equity
add profit for year or less loss for the year
less drawings

IN THAT ORDER