Exam 2: Measuring and Evaluating Financial Position and Financial Performance

The Great Escape Company has just purchased a supply of 80 000 litres of diesel fuel for its buses. The diesel fuel is an expense to the company in the accounting period in which the fuel is:

Which of the following statements about retained profits is TRUE?

Consider the following transactions: Which of the above transactions increase June 2019 expenses?

The summarised balance sheet of Apcor Ltd at 30 June 2019 was as follows: What was Apcor Ltd's working capital at 30 June 2019?

Which of the following statements about a balance sheet is TRUE?

Which of the following is NOT a liability?

A company buys 100 televisions for $500 each. It sells 60 televisions for $900 each. What is the 'cost of goods sold' expense?

What is total revenue for the period in which credit sales are $20 000, cash sales are $16 000 and $15 000 cash is received from a customer as a deposit for work done in the next period?

During 2019, Beta Ltd incurred expenses of $25 000 and earned a net profit of $5 000. Retained profits at 1 January 2019 stood at $7 000, and dividends declared and paid totalled $3 000. What were the revenues of Beta Ltd during 2019?

During the year, Grasso Ltd sold 2000 items at $30 each. The cost price of the items was $22 each. Operating expenses totalled $7 000 and income tax expense was $5 000. What was the operating profit before tax of Grasso Ltd for the year?

Which of the following statements is NOT true?

Which of the following accounts would appear in an income statement?