Answer Key
Company finance - cash flow, profit and loss account, balance sheet – Practice 1
Choose the correct answer:
- The client list of a successful training company, all of which are successful businesses may be considered a [intangible asset]
- A Board member that leaves the company at the age of 65, and whose employment contract is not renewed is entitled to [pension]
- If a person or business has more debts than money to pay then, this means they have more liabilities than assets, and the are [insolvent]
- The dollar, the euro and the yen are all [currencies]
- Company cars depreciate quickly. We write them [off] completely after five years.
- In the first year of operation, the company [ploughed back] 44 per cent of. its profits into advertising.
- His company went [bust] very quickly and now he is looking for a new job to pay all his debts.
- In April 1933 the company's [ledger book] listed income of 25 cents for fashioning a key.
- Money which customers owe, that will definitely be paid in the next 60 days is considered a [current asset]
- In the US, ‘accounts [receivable] ' refers to customers that owe the company money