Statements

Question 1

What does Statement of Profit or Loss show?

Answer 1

Results of the accounting period
shows financial performance

Is cleared and reset every accounting period

Question 2

What does Statement of financial position show?

Answer 2

Shows a snapshot of business assets and liabilities at a particular date

Question 3

What is the structure of Statement of Financial Position?

Answer 3

Assets
Non-current
-Intangible
-Tangible
Current Assets

Capital and Liabilities
Capital
Non-current liabilities
Current Liabilities

Question 4

What is the structure of the Statement of profit or loss?

Answer 4

Revenue
(Cost of Sales)
Gross profit
(Other expenses)
Net profit

instead of net profit can be
Profit before tax
(income tax expense)
profit for the year (net profit)

Question 5

In SPL what is cost of expenses

Answer 5

Opening inventory +purchases - closing inventory

Question 6

In SPL what is (other expenses)

Answer 6

(Distribution costs)
(administrative costs)
(Finance costs)