Principles of Accounting: Statement of Financial Position for Companies

////Principles of Accounting: Statement of Financial Position for Companies

Principles of Accounting: Statement of Financial Position for Companies

ZIMSEC O Level Principles of Accounting: Accounting for Limited Liability Companies: Statement of Financial Position

  • We have looked at the Income Statement for companies here
  • We will now look at the structure of the Statement of Financial Position
  • The Statement of Financial Position is almost identical to the one prepared for sole traders
  • In fact the Assets side is just the same
Assets$$
Non-current Assets
Property, plant and equipmentxxxx
Motor Vehiclesxxx
Fixtures and Fittings

xxx

xxxx
Current Assets
Invetoriesxxx
Trade receivablesxx
Prepaymentsxx
Cast at Bankxx
Cash

xxx
Total Assets

xxxxx

Equity and Liabilities
Capital and Reserves
Share Capitalxxxx
Capital Reservesxxx
Revenue Reserves

xxx

xxxx
Non-current Liabilities
Debenturesxxx
Long-term Loan

xxx

xxx
Current Liabilities
Trade and other payablesxxx
Company Taxxxx
Short term borrowings(Bank overdraft)xxx
Interest accrued on loan

xxx

xxxx
Total Equity and Liabilities

xxxxx

  • As said only the capital and liability line items are different from those of sole traders and parnterships

To access more topics go to the Principles of Accounts Notes.

By |2018-05-18T09:38:24+00:00May 18th, 2018|Notes, Ordinary Level Notes, Principles of Accounts Notes|Comments Off on Principles of Accounting: Statement of Financial Position for Companies

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He holds an Honours in Accountancy degree from the University of Zimbabwe. He is passionate about technology and its practical application in today's world.
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