Accounting basics | Baamboozle - Baamboozle | The Most Fun Classroom Games!

English 8 Public

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We need to (add/ deduct) the cost of goods from the revenue to get the net income.

deduct

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The balance sheet shows which (assets / liabilities) the company owns.

assets

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The balance sheet shows the( equity / liabilities) that belongs to the owners.

equity

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The balance sheet shows the (equity / liabilities) it owes to others.

liabilities

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Assets are ....

things of value that company owns or uses for instance land and buildings, office equipment

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Liabilities means ...

what you owe to others, for example a bank loan, or what you owe to your suppliers for goods or to IRS for taxes.

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Equity is ...

the residual amount that would be left if the company sold all its assets and paid off all its liabilities.

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Everything that a company owns (its assets) was purchased either from ...

debt or company’s own money (equity).

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