Income statement

HideShow resource information

1. Advising how amount charged for loan and bank interest could be reduced

  • Arrange loan instead of over draft; incerase sales; reduce drawings; new loan or O/D at lower rate
  • Increases cost of sales; decreases gross & net profit:reduces assets in balance sheet
1 of 10

Other questions in this quiz

2. Number of columns along top axis

  • 4 - £ £ £ £
  • 2 - £ £
  • 3 - £ £ £
  • 1 - £

3. Third heading

  • Rent & Rates; Heat & Light; Accrual (720 x 1/3)
  • Rent & Rates; Heat & Light; Trade payables
  • Rent & Rates; Bad debts; Accrual (720 x 1/3)

4. Second Heading no figure; followed by....

  • Less: Cost of sales; Opening Inventory; Add purchases; Less: Closing inventory; Gross profit
  • Sales; Less: Cost of sales; Add purchases; Less: Closing inventory
  • Sales; Less: Cost of sales; Opening Inventory; Trade recievables; Less: Closing inventory

5. [Final Subheading] Depreciation expense:

  • (percentage x price)
  • Equipment (percentage x price); Vans (percentage x price);Loan & Bank interest (percentage x price)
  • Equipment & Vans (percentage x price); Loan & Bank interest (percentage x price)

Comments

No comments have yet been made

Similar Accounting resources:

See all Accounting resources »See all Income statement layout resources »