TOPIC 1, SFP Flashcards
What is SFP?
An overview of what a company owns and what a company owes at a point in time
What are Current Assets?
Cash that can be converted within a year
What are Non-Current Assets?
Cash that cannot be converted quickly/within a year
What are the two types of assets?
Tangible Assets and Intangible Assets
What are the 3 accounts used in SFP?
Assets, Liabilities, and Equity
What are the two commonly used formats in making an SFP?
Report Form and Account Form
What is the correct title section format in these examples?
A. ABC COMPANY
STATEMENT OF FINANCIAL POSITION
AS OF DEC 31, 2022
B. ABC COMPANY
STATEMENT OF FINANCIAL POSITION
FOR THE YEAR ENDED DEC 31, 2022
A
What is the correct title section format in these examples?
A. ABC COMPANY
STATEMENT OF FINANCIAL POSITION
AS OF DEC 31, 2022
B. ABC COMPANY
STATEMENT OF FINANCIAL POSITION
FOR THE YEAR ENDED DEC 31, 2022
A
Illustrate the Accounting Equation
Assets = Liabilities + Owner’s Equity
What format represents assets on the left and liabilities and equity on the right?
Account Form
