FOA Unit 5

"Sales-Cost of Goods Sold" is the formula for calculating which of the following?

• Net Profit

• Gross Profit

• Profit Before Interest and Tax

The statement of profit or loss is prepared for the accounting period at the end of the period, to determine the profit or loss made by the enterprise during that period.

• True

• False

In the statement of profit or loss, expenses are matched against the gross profit plus other revenues to determine the profit or loss for the period.

• True

• False

"Gross Profit+ Other Revenue - Other expenses" is the formula for calculating which of the following?

• Gross Profit/Loss

• Net Profit/Loss

• Cost of Goods Sold

The statement of profit or loss shows the assets and liabilities of an enterprise at a particular date

• True

• False

Which of the following would not be found on the statement of financial position/balance sheet

• Assets

• Revenues

• Liabilities

• Equities