ConceptConceptDocsDocuments

CAIE IGCSE Business Studies 5.4 statement of financial position

Use this financial-position page to define asset and liability categories, classify entries and interpret balance-sheet information.

Syllabus
2027–2029
Course
Business 0264

Exam points

  • Define non-current assets as resources used by a business for more than one year.
  • Classify items such as overdraft, trade receivables, trade payables and cash.
  • Explain shareholders' equity using owner investment, reserves or assets minus liabilities.

Covered syllabus points

5.4.1—The main elements of a statement of financial position

5.4. Statement of financial position question 1

[Maximum number: 2]

WFT is a primary sector business which harvests timber (wood) from trees. The Operations Manager knows there are many legal controls over business activity affecting the environment. WFT has 30 employees and uses a lot of technology to process the timber. The business is always considering ways to increase added value. WFT often needs finance. An extract from WFT's statement of financial position is shown in Table 1.1.

Table 1.1

Table 1.1

Identify one non-current asset and one non-current liability.

Non-current asset:

Non-current liability:

All question bank results loaded