Select the choice which best completes the statement, or answers the question, by clicking on the corresponding letter.
Dharma runs a business selling jewellery. One of the items on the following list is an asset of his business; the other items are liabilities. Which is the business asset?
Loan from bank
Inventory of jewellery for resale
Amount of £6 000 owed to the HMRC for VAT
£4 000 drawn out of the business by Dharma
Dransfield sells protective clothing trading as Dransfield & Co. Which of the following is not an asset of the business?
Petty cash held in Dransfield’s office desk
£100 in £5 notes in Dransfield’s wallet
Bank account balance in the name of Dransfield & Co, of £3 250
Deposit account balance in the name of Dransfield & Co, of £10 300
Deirdre’s business has non-current assets of £30 000, current assets of £17 500 and current liabilities of £3 600. There are no long-term liabilities. Deirdre’s capital is:
£51 100
£16 100
£43 900
£8 900
Dima’s business has current liabilities of £35 000, current assets of £39 000, non-current assets of £16 000 and long-term liabilities of £8 000. What is her capital?
£12 000
£50 000
£4 000
£82 000
Daxa’s business has net assets of £46 300. Her capital is £46 300, non-current assets are £35 000, and current assets are £21 750. What is the total of Daxa’s business liabilities?
£56 750
£10 450
£13 250
£33 050
Dale’s business has a current assets total of £29 750 and current liabilities of £13 660. There are no long-term liabilities in his business. Dale’s capital account balance is £23 490. The business’s non-current assets total is:
£7 400
£39 580
£23 490
£16 390
Doyle Distribution is a haulage business owned by Damon Doyle, a sole trader. The business non-current assets total £36 250. Current liabilities are £8 500, long-term liabilities are £5 000 and the capital account balance is £42 900. What is the total for current assets in the business?
£39 750
£20 150
£22 750
£65 650
Denton’s statement of financial position at 30 September shows the following balances:
£ Non-current assets 18 000 Inventory 9 000 Trade receivables 8 500 Cash at bank 300 Trade payables 6,700
Denton’s capital is:
£35 800
£25 500
£42 500
£29 100
Dustin’s business bank account at 1 April 20X4 totals £2 200.
On 2 April 20X4 he receives payment in respect of a trade receivable of £17 260. On 3 April 20X4 he pays £12 400 to settle a trade payable. There are no other transactions in the three day period.
What is the effect of these transactions on Dustin’s capital?
Increase capital by £4 860
Increase capital by £7 060
Decrease capital by £4 860
No effect
Delphine’s business bank account balance at 1 November 20X5 is £12 250. On 2 November she draws out £4 600 for her own personal use. On 3 November she buys non-current assets for £2 600. There are no other business transactions in the 3 day period. What is the effect of these transactions on Delphine’s total assets?