BUSINESS ADMINISTRATION
BUSINESS MATHEMATICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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I, II, IV, V
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I, II, III
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IV, V, I
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I, II, III, IV, V
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Detailed explanation-1: -The elements of the financial statements will be assets, liabilities, net assets/equity, revenues and expenses. It is noted in Study 1 that moving along the spectrum from cash to accrual accounting does not mean a loss of the cash based information which can still be generated from an accrual accounting system.
Detailed explanation-2: -But if you’re looking for investors for your business, or want to apply for credit, you’ll find that four types of financial statements-the balance sheet, the income statement, the cash flow statement, and the statement of owner’s equity-can be crucial in helping you meet your financing goals.
Detailed explanation-3: -There are five elements of a financial statement: Assets, Liabilities, Equity, Income, and Expenses.
Detailed explanation-4: -Of these elements, assets, liabilities, and equity are included in the balance sheet. Revenues and expenses are included in the income statement. Changes in these elements are noted in the statement of cash flows.