Inventory on 31 st, december 2015 was valued at rs. Solution to chapter 5 balance sheet and statement of cash flows assignment classification table by topic topics questions brief exercises exercises problems concepts for analysis. Worksheet problem 3 prepare bologna s income statement, statement of retained earnings, and balance sheet for the year ending december 31, 20x5. Exercise 4 indicate with yes or no whether or not each of the following items should appear as an asset on a companys december 31, year 7 balance sheet. Projectbased learning for the personal finance classroom. Pdf solution to chapter 5 balance sheet and statement of. Preparation of a balance sheet from and exam question example. Accounting exercises section 1 the balance sheet equation. If you decide to make the card sets, print the cash flow and balance sheet cards on.
Preparation of balance sheet horizontal and vertical style. Prepare adjustment entries, adjusted trial balance and three informal financial statements excluding cash flow statement. I have written it for my igcse business students in grade 10 but you could use it for other exam boards who have balance sheets on the syllabus. A balance sheet always balances, in that assets are equal to the sum of liabilities plus equity. Use this quizworksheet combo to test your understanding of balance sheets in accounting practices. On what aspect of a business does the balance sheet provide information. The following balances are extracted from the books of ms. Depreciation machinery by 10 % and amortization of patents by 20 %. Exercise 4 lesson 3 the following list of accounts for company y ltd. The following information is all that is available. Unexpired insurance at the end financial year was rs.
The total of stockholders equity is equal to the amounts listed on the balance sheet for assets minus the amounts listed on the balance sheet for liabilities. Complex 3035 e57 current assets section of the balance sheet. Balance sheet and income statement solved examples. Green as at 31 march 2015 in both horizontal and vertical style. The income statement reports the organizations economic. Balance sheet activity with answers teaching resources. Transfer the closing bank balance to the balance sheet as the amount for.
The value to be derived by the firm from having a key location for selling its product. Some vocabulary terms youll be assessed on include the balance sheet equation, assets and. It could be used in class as a summary task or set as homework. For multiplechoice and true false questions, simply press or click on what you think is the correct answer.
The following trial balance is prepared after preparation of income statement for f. Trial balance problems and solutions accountancy knowledge. Note that student handouts 3d and 3e are answer keys for the two in class activities. There were some excellent responses however with very pertinent credit management observations being made. Principles of accounts answers to x questions teachers manual answers to x questions. Departmental profit and loss statement a exercise solution. Categorize the following accounts as to whether theyre asset, liability, of owners. You may wish to distribute the answers when the students have completed the in class activities and are ready to discuss the process. It is likely that the fair value of the assets is different from the cost less depreciation shown on the balance sheet. Merchandise inventory is listed as a current asset on the balance sheet. Financial statement problems and solutions accountancy. This is a balance sheet activity that contains written questions alongside a balance sheet that needs completing.