BBUS1DAS Questions On Business Finance - Individual Tutoring Part 1

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Individual Tutoring - Part 1

Question 2 (3 marks)

  1. Explain the purpose and use of the Statement of profit or loss, Statement of changes in equity, Statement of financial position (also known as the Balance Sheet) and of the Statement of cash flows. Explain why the Statement of cash flows differs from the Statement of profit or loss. (125 words). (2 marks)
  2. Briefly describe the 3 main business structures; sole trader, partnership and company, how they finance the business and 1 advantage and 1 disadvantage of each structure (do not repeat these advantages or disadvantages) (125 words). (1 mark)

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