Courier Service Limited is engaged in the delivery of parcels in the city and suburbs. Ten light vans are used and, in addition to the manager and 10 drivers, two people are employed in the office.
1. Using the headings 'shareholder's equity', 'liabilities', 'assets', 'revenue' and 'expense', prepare a chart of accounts for the business.
2. What information will be available to management if your suggested chart of accounts is adopted?