Balance Sheet

Question 1

Which type of accounts should be on the balance sheet?

Answer 1

Asset accounts, liability accounts and shareholders equity accounts

Question 2

How to you group the assets accounts on the balance sheet

Answer 2

To the left, in groups of two:
Non-current assets (ALWAYS FIRST)
Current assets
Total Assets

Question 3

How to you group the liabilities accounts on the balance sheet

Answer 3

To the right, in groups of two:
Non-current liabilities (ALWAYS FIRST)
Current liabilities
Total liabilities

Question 4

Which accounts go under shareholders equity?

Answer 4

1. Shared capital
2. Retained earnings
3. other equity items (if any)

Question 5

What’s the formula for retained earnings?

Answer 5

Retained earnings = beginning retained earnings + net income/loss - dividends

Question 6

What’s the accounting equation?

Answer 6

Assets = Liabilities + shareholders equity

Question 7

Which info goes at the top of the balance sheet?

Answer 7

“Balance Sheet”, name of corporation, period covered (as of March 31st)