| A | B |
|---|
| banks | User of accounts who wants to know the firms current level of debt and their ability to repay their loans or bills |
| sources of finance | Bank loan, government grant and borrowing money from friends are all ? |
| transaction | An agreement between two parties to exchange goods or services for payment |
| debtors | Term that describes people who owe you money |
| creditors | Term that describes people you owe money to |
| assets | Term that describes things that you own |
| liabilities | Term that describes things that you owe |
| profit | when income is greater than expenses |
| loss | when expenses are greater than income |
| break-even | when expenses is equal to income – no profits, no losses |
| bank manager, accountant or lawyer | who you would approach for financial advise |
| contracts and ownership of property | lawyers deal with this when setting up a business |
| non current assets | vehicles and premises are found under this heading in balance sheet |
| current assets | stock and debtors are found under this heading in balance sheet |
| current liabilities | creditors and bank overdraft are found under this heading in balance sheet |
| non current liabilities | loan and mortgage are found under this heading in balance sheet |
