Chapter 9 Final Accounts

1.   What are the objectives of preparing financial statements?

2.   What is the purpose of preparing trading and profit and loss account

3.   What is the meaning of 'cost of goods sold'?

4.   What is the meaning of 'balance sheet'?

5.   What is the meaning of capital expenditure? Give three examples.

6.   What is the meaning of 'revenue expenditure'? Give three examples.

7.   What is the meaning of operating profit?

8.   What is the meaning of 'adjusting entries'?

9.   What is the meaning of 'closing entries'?

10.  What is meant by 'marshalling of assets and liabilities'?