BUSS1030 Lecture Notes - Lecture 6: Current Liability, Financial Transaction, Financial Statement

• School: University of Sydney
• Department: Business Studies
• Course: BUSS1030
• Professor: Abdul Razeed

Document Summary

Balance sheet (statement of financial position: purpose set out the financial position of a business at a particular point in time; e. g. as at. Liabilities + owner"s equity = claims to economic resources. Holds the asset primarily for the purpose of trading. Will become a liability contingent on that even happening. Not liable for repayment within the next 12 months. Order of liquidity (payment: owner"s equity. 2: claim of the owner(s) against the business residual interest in the assets of the entity after deducting all its liabilities, on the balance sheet, there are two additional accounts to the owner"s equity contributed account. Cr cash ,00 then, land increased value to ,000 (new value) Cr asset revaluation reserve ,000 then, land decreased in value to ,000 (new value) Owner"s equity contributed reserves retained profits (combined with reserves) subcategories = retained profits and other reserves.