Exam 2: The Statement of Financial Position

Sergei has £8658 in his business bank account at 1 March 20X4. On 2 March he pays in a cheque due in respect of a trade receivable for £6620. On 3 March he buys a non-current asset for £9020. On 4 March he draws his usual monthly salary of £1000 from the business. On 5 March he pays in a cheque for £15 000 in respect of a loan he has just received from a small business expansion scheme.The loan is due for repayment in 20X7. What is the effect of these transactions on Sergei's capital?

The balances in Mansoor's statement of financial position at 31 March are given below.Only the non-current assets balance is excluded. What is the non-current assets balance at 31 March?

Darcy's business has two categories of non-current asset: machinery and motor cars.Capital is £117 060 at 30 April 20X4, current assets are £22 700, and long-term liabilities are £7000.There are no current liabilities.The machinery total is £76 760.What is the total for motor cars in Darcy's business balance sheet at 30 April 20X4?

Mark's statement of financial position at 31 October contains the following balances: Which one of the following statements is correct?

Victoria is a sole trader.At 31 December 20X4 her business statement of financial position includes the following: What is the total for current assets?

Finlay's business has current liabilities of £23 000, non-current assets of £52 000 and long-term liabilities of £15 000.The total of current assets less current liabilities is £13 000. Which one of the following statements is incorrect?

Jürgen's business statement of financial position shows current assets of £37 000, current liabilities of £26 000 and capital of £102 000.There are no long-term liabilities.What is the total of non-current assets?

Ilona's business bank account at 1 May 20X7 has a balance of £13 000 in her favour. On 2 May 20X7 she buys a non-current asset for £10 000. On 3 May 20X7 she receives an amount owing of £3600. What is the effect of these transactions on Ilona's total assets?

Which of the following correctly expresses the accounting equation?

Sarah runs a business as a sole trader.One of the items on the following list is a liability of her business.Which item is the liability?