Balance Sheet Unit 5

sarahwilson

When listing assets on the balance sheet, is it reverse order or liquidity, ie buildings, vehicles, stock, debtors & cash? Or is it the other way?

I can't remember and I have forgotten my textbook and for some reason its niggling me this morning!!

A-Vic

Hi Sarah

You list them in order of liquidty

Stock
Debtors (less pro for doub debts)
Prepayment
Bank
Cash

Esme

Oh dear.. I didn't realise that!! I was putting the currents assets in the order they were on the TB.

When you have to write out your own TB on the first part of the FRA exam, does it matter what order you list everything?

A-Vic

I dont think they are gonna take points off for that as long as you have them all in

sarahwilson

I dont think the order on the TB matters. The other thing that was niggling me was I know the proforma for the P&L but when you get to the expenses part does that matter what order its in? I tend to put in value order, high to low but I don't know if there is a set way to do it.

Thanks for all your help:thumbup:

A-Vic

Right second attemp to reply to this thread grrr lol

No it really doesnt matter our tutor tought us to mark it off the ETB as you list them so then you can mark them as you add them so making sure not to miss any.

:001_smile:

potsandclocks

Hi , If it helps I think of it as a Rhyme Thingy For me its
South , Beds District Council with a P and when you have written them just swap the B&D round if you can remember might sound silly but then I can remember it
Not sure if that will help or hinder Karen:thumbup1:

potsandclocks

The other rhyme thingy I have is for the Balance sheet which is
Funny Animals = Fixed Assets
Clever animals = Current assets
Can Loose = Current Liabilities
Faith = Financed By

It just helps me to remember where to put things Hope it helps Karen:thumbup:

sarahwilson

Thats fab karen, have bumped it up on another thread. I find rhymes and stuff make it so much easier to remember things like this.:thumbup: