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Monday, March 22, 2021

Business Management and Business Studies Worksheet - Assets, Liabilities and Equity.

 

Business Management/Business Studies Worksheet

Topic/s: Assets, Liabilities and Equity.

IB Business Management worksheet


Vision Media Consultants (VMC)

Vision Media Consultants (VMC) was set up as a partnership firm by David and Warren. Encouraged by growth rate and increasing demand, partners decided to convert VMP to a private limited company. The majority of shares are held by David and Warren. VMC’s service includes strategic business advice on marketing and customer reach out.  VMC also undertakes outdoor advertising. The major clients include big corporates in entertainment industry, education and health. The following balances are taken from the books of VMC on 31 December 2020.

Film equipment

$ 8,000

Stock of print materials

$ 4,600

Buildings

$ 15,000

Debtors

$ 6,400

Copyright

$ 4,000

Cash

$ 8,200

Creditors

$ 2000

Bank overdraft

$ 2,800

Share capital

$ 22,000

Bank loan

$ 10,000

Retained profit

$ 6,800

Mortgage

$ 2,600

Table 1

Questions:

a)     Using the figures given in the table 1, calculate the following:

 

                    i.            Total fixed assets.

[ 2 marks]

                  ii.            Total current assets.

[ 2 marks]

                iii.            Total current liabilities.

[ 2 marks]

                iv.            Total long term liabilities.

[ 2 marks]

                  v.            Total equity.

[ 2 marks]


14 comments:

  1. Answers

    1. Total fixed assets : $ 8,000 + $ 15,000 = $ 23,000
    2. Total current assets : $8,200 + $6,400 + $4,600 = $19,200
    3. Total current liability: $ 2,800 + $ 2000 = $4,800
    4. Total long term liabilities : $ 2,600 + $ 10,000 = $12,600
    5. Equity: $ 22,000 + $ 6,800 = $28,800

    ReplyDelete
  2. i) Total Fixed Assets are: $27,000
    ii) Total Current Assets are: $19,200
    iii) Total Current Liabilities are:$4800
    iv) Total Long Term Liabilities are:$12,600
    v) Total Equity: $28,800

    ReplyDelete
  3. i) Total Fixed Assets are: $27,000
    ii) Total Current Assets are: $19,200
    iii) Total Current Liabilities are:$4800
    iv) Total Long Term Liabilities are:$12,600
    v) Total Equity: $28,800
    -Shrey Kothari

    ReplyDelete
  4. 1)$27,000
    2)$19,200
    3)$4,800
    4)$12,600
    5)$28,800

    ReplyDelete
  5. i) Total Fixed Assets are: $27,000
    ii) Total Current Assets are: $19,200
    iii) Total Current Liabilities are:$4800
    iv) Total Long Term Liabilities are:$12,600
    v) Total Equity: $28,800
    - Ansh Saipratap Singh

    ReplyDelete
  6. i.) Fixed assets = 8,000 + 15,000 + 4,000 = $27,000
    ii.) Current assets = 4,600 + 6,400 + 8,200 = $19,200
    iii.) Current liability = 2,000 + 2,800 = $4,800
    iv.) Non-current liability = 10,000 + 2,600 = $12,600
    v.) Equity = 22,000 + 6,800 = $28,800

    ReplyDelete