Assets
What is the longest lasting asset?
Land
A debt of the business
Liability
When you owe a person or business money
Account Payable
What is accountability?
The responsibility taken on by employees who handle or have access to cash in the business. They must explain any losses or discrepancies in the business's finances.
How old is Mr. Taylor?
21
What is a liquidity and which asset is the most liquid?
The ability to convert an asset to cash. Cash is the most liquid.
Business year; the 12-month period used for financial calculations and comparisons by a business
Fiscal year
Is writing 'Gavin T., Capital' the correct way to show owner's equity?
No
G. Taylor, Capital
What is included in the header of the balance sheet?
In what order?
Business Name
Balance Sheet
Date
Where is Mr. Taylor from?
Portage la Prairie
Name five business assets
cash, accounts receivable, supplies, prepaid expenses, building, land, vehicles, etc.
All the money left over after the cost of goods sold from revenue, but before deducting the business expenses that helped generate the revenue
Gross Profit
What is typically the longest lasting liability?
Mortgage Payable
Why is cash more appealing than manufacturing equipment?
Everyone can use cash in their day-to-day life, as it is universally accepted as a means of payment and has a set value. Equipment may be specialized and not needed by most, and it does not have an exact value attached to it.
What is Mr. Taylor's first name?
Gavin
What are the two different types of assets and how to we decide which accounts go where?
Current and Capital (or Long-term)
Things that will last less than a year are current, more than a year are capital assets.
What are the poles in a retail store by the doors that beep called?
Checkpoints
If given assets and owner's equity, how to we calculate liabilities?
L = A - OE
What is the bill given from the supplier to the customer called?
Invoice
Where was Mr. Taylor's first job?
Canadian Tire
What is the term for capital assets losing value over time?
Depreciation or amortization
When an investor sells stock(s) in a business and makes a profit from their original purpose.
Capital gains
Name four liabilities
accounts payable, vehicle loan payable, mortgage payable, bank loan payable, student loan payable, etc.
What is Mr. Taylor's instructor's name?
Justin
What is Mr. Taylor's other subject area of "expertise"?
Geography