LIGS

All of the following items we call assets

• car, bank loan, cash

• payables, house, machinery

• inventory, receivables, cash

• inventory, shareholders equity, cash

Equity is not

• profit

• loss

• share capital

• machinery

Assets can be financed by

• banks

• owners

• profits

• all of the above

Assets are equal to liabilities and equity

• always

• at the year end

• sometimes

• never

Profit is the difference between

• assets and liabilities

• assets and equity

• revenues and expenses

• revenues and equity

The only financial statement, which is a "snapshot" is

• income statement

• cash flow statement

• statement of changes in equity

• balance sheet

Cash flow statement consists of these parts

• operating and non operating

• operating, investing and financing

• assets , liabilities and equity

• revenues and expenses

Profit and loss is a synonym for

• income statement

• balance sheet

• statement of financial position

• cash flow