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Business English Exercises
 

The Balance Sheet

Answers to test questions and links to explanations

Home > Teaching Business English > Business English Lessons, Advanced Level # 68
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 All tests  TOP 100  Forum  Dictionaries How to use balance sheet?
the balance sheet answer 1
A balance sheet shows the financial resources that a company has at a point in time and where they came from.

Correct answer: (b) resources

Meaning of business term resources
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the balance sheet answer 2
It is an instant photograph that displays the company's financial position at the end of a business month, quarter or year.

Correct answer: (b) position

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the balance sheet answer 3
The organization of a balance sheet reflects this basic equation: assets equal debts plus equity.

Correct answer: (c) equation

Meaning of business term equation
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 meaning of equivalent, dispatch, primarily, aging schedule, keep is sales a debit or a credit?
the balance sheet answer 4
The chart of accounts is a listing of the accounts that are reflected in the financial statements.

Correct answer: (b) chart

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the balance sheet answer 5
Assets are often listed in the order of their liquidity — which means how easy it would be to convert each asset into cash.

Correct answer: (b) liquidity

Meaning of business term liquidity
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the balance sheet answer 6
Assets are divided into three categories: Current Assets, Fixed Assets, and Other Assets.

Correct answer: (d) Other

Meaning of business term Other
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the balance sheet answer 7
Current assets will likely be turned into cash or converted into a(n) expense within a year.

Correct answer: (b) expense

Meaning of business term expense
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the balance sheet answer 8
Fixed assets are saleable, but are not expected to be converted to cash in the normal course of business.

Correct answer: (d) normal

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the balance sheet answer 9
Liabilities are debts or obligations stemming from goods or services received by the company.

Correct answer: (a) obligations

Meaning of business term obligations
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the balance sheet answer 10
If the assets of a company are greater than its liabilities, then the equity of the business is the positive difference between the two numbers.

Correct answer: (b) difference

Meaning of business term difference
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Business English Practice Exercises Business English Tests — several topics are covered: office matters, job applications, computer English, money expressions, business law, operations management, retail marketing, e-commerce, accounting terms, contracts and agreements, commercial correspondence, etc.
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