Lesson 6.2.3

6.2.3 Statement of Financial Position (Balance Sheet) Quiz: NCFE Business & Enterprise, Unit 6

20 questions · by Revision Ninja

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This free Statement of Financial Position (Balance Sheet) quiz has 20 multiple choice questions for the NCFE Level 1/2 Technical Award in Business and Enterprise (NCFE Business & Enterprise), Unit 6: Finance. It covers lesson 6.2.3, Statement of Financial Position (Balance Sheet), one of the ready-made revision sets written with Revision Ninja and organised by unit on Qwiz Rush.

Use it as a starter, a plenary or an end-of-unit check: host it live on the board and students join with a game code on their own devices — no student accounts and nothing to install — or set it for independent revision with Free Play, where each student works through the questions alone.

Every question runs on a 20-second countdown and the fastest correct answers score the most. All the questions and their choices are listed below so you can see what the quiz covers; the answers are revealed in the game. Want to change something? Make your own copy and edit it in your library.

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The 20 questions

  1. What does a statement of financial position (balance sheet) show?

    • Assets and liabilities
    • Fixed and variable costs
    • Revenue and expenses
    • Cash inflows and outflows

  2. Which of these best describes capital employed on a balance sheet?

    • Cash, inventory and money owed by customers
    • Total assets minus total equity
    • Equity plus non-current liabilities
    • Share capital minus any dividends

  3. Which item on a balance sheet is a non-current (fixed) asset?

    • A delivery van
    • Cash in the bank
    • Unsold inventory
    • Trade receivables

  4. Which of these would be listed under current liabilities?

    • A ten-year mortgage on the shop
    • Money owed to suppliers next month
    • Rent already paid for next year
    • Money owed by customers this month

  5. What does the share capital figure on a balance sheet represent?

    • Money borrowed from the bank
    • Profit kept back in the business
    • Dividends paid out to shareholders
    • Money raised by selling shares

  6. A bank loan repayable in five years appears under which heading?

    • Shareholders' equity
    • Non-current liabilities
    • Non-current assets
    • Current liabilities

  7. How is working capital calculated from a balance sheet?

    • Total assets minus total liabilities
    • Current assets minus current liabilities
    • Current assets plus closing inventory
    • Non-current assets minus accumulated depreciation

  8. An income statement covers a whole year. What period does a balance sheet cover?

    • One particular day
    • The last three years
    • The next twelve months
    • The whole trading year

  9. Share capital plus retained profit adds up to which balance sheet total?

    • Shareholders' equity
    • Long-term liabilities
    • Working capital
    • Capital employed

  10. Why do the two sides of a balance sheet always come to the same total?

    • Cash paid in must equal cash paid out
    • Assets are valued at their resale price
    • Every asset is funded by capital or debt
    • Profit is added equally to both sides

  11. Where on a Statement of Financial Position would you find a five-year bank loan?

    • Owners' capital
    • Current liabilities
    • Non-current assets
    • Non-current liabilities

  12. Which section of a Statement of Financial Position lists items the firm expects to turn into cash within twelve months?

    • Current assets
    • Non-current assets
    • Current liabilities
    • Owners' capital

  13. Which of these items is an example of a current liability?

    • Money owed by customers
    • A bank overdraft
    • A delivery van
    • A five-year bank loan

  14. Ravi puts £20,000 of his own savings into his business. Where will this appear on the Statement of Financial Position?

    • Owners' capital
    • Non-current assets
    • Current liabilities
    • Non-current liabilities

  15. Which of these items is NOT classed as a non-current (fixed) asset?

    • Office premises
    • Delivery vehicles
    • Factory machinery bought on credit
    • Inventory (stock)

  16. Which equation underpins the Statement of Financial Position?

    • Liabilities = Assets + Capital
    • Assets + Liabilities = Capital
    • Assets = Liabilities + Capital
    • Capital = Assets + Liabilities

  17. Which term describes a firm's total long-term funding: equity plus non-current liabilities?

    • Capital employed
    • Working capital
    • Retained profit
    • Equity plus current liabilities

  18. A shop has current assets of £40,000 and current liabilities of £15,000. What is its working capital?

    • £25,000
    • £55,000
    • £15,000
    • £40,000

  19. Where on the Statement of Financial Position would you find money owed to suppliers for goods bought on credit?

    • Current assets (trade receivables)
    • Owners' capital
    • Non-current liabilities
    • Current liabilities

  20. A van's original cost minus the depreciation charged to date gives which figure in the Statement of Financial Position?

    • Net book value
    • Net realisable value
    • Historical cost
    • Replacement cost