Financial Statement
Which statement shows the difference between revenues and expenses during a specific period?
Income Statement (Profit and Loss Statement)
Which type of accounting involves calculating the cost of materials, labor, and overhead in production?
Cost Accounting
In 2004, what was City Café Ltd’s net profit margin?
12.5%
What are the three main sections of a Cash Flow Statement?
Operating activities, Investing activities, Financing activities
Which type of accounting focuses on compliance with tax laws and minimizing tax liability?
Tax Accounting
In 2005, City Café’s current ratio dropped from 2.5 to ___?
1
In the Balance Sheet, what is the basic accounting equation that must always balance?
Assets = Liabilities + Shareholders’ Equity
Which type of accounting inspects and reports on accounts to ensure accuracy, reliability, and detect fraud?
Auditing
For Titan Tankers, which stakeholder group is mainly interested in liquidity to assess short-term debt repayment?
Creditors