1. The monetary concept refers to:

A. recognising all items in the financial statements even if they cannot be measured in monetary terms.

B. measuring all items in the financial statements in monetary terms.

C. recognising cash in the financial statements.

D. recognising only cash transactions in the financial statements.

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2. Accounting choices applied to the measurement and recognition of financial statement elements are referred to as:

A. accounting estimates.

B. accounting policies.

C. management policies.

D. estimates of best practice.

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3. Artistic Creations, a business owned by Briony, had the following assets and liabilities as at the financial years ended 30 June 2017 and 30 June 2016 as shown.

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4. A friend who owns a small entity trading as Jobs Galore knows that you are studying accounting, and has asked if you would prepare the entitys classified balance sheet as at 30 June. The friend has provided you with the following list of assets and liabilities (the equity figure has not been provided) to perform this task. (List current assets in order of liquidity.)

Artistic Creations, a business owned by Briony, had the following assets and liabilities as at the financial years ended 30 June 2017 and 30 June 2016 as shown. 30 June 2017 30 June 2016 ASSETS Cash at bank $17,000 $8,000 Inventory 14,000 15,000 Prepaid insurance 5,000 2.500 Accounts receivable 5,400 6,100 Motor vehicles 20,000 20,000 Land and buildings 40,000 40,000 LIABILITIES Accounts payable $21,000 $16,000 Accrued expenses 5,000 8,000 Mortgage 10,000 10,000 Bank loan 36,000 38,500 What is the equity as at the end of the two financial years? 30 June 2017 30 June 2016 Equity $ $ A friend who owns a small entity trading as Jobs Galore knows that you are studying accounting, and has asked if you would prepare the entity's classified balance sheet as at 30 June. The friend has provided you with the following list of assets and liabilities (the equity figure has not been provided) to perform this task. (List current assets in order of liquidity.) Cash $4,340 Motor vehicles 24,900 Equipment 14,900 Monies owed by customers 3,920 Monies owed to suppliers 5,870 Loan due to be paid in two years 17,810 Wages owed to employees 1,210 Rent paid in advance 770 JOBS GALORE Balance sheet as at 30 June Assets Non-current liabilities Non-current assets Total assets Total liabilities Current liabilities Total current liabilities Intangible assets Total non-current assets Net assets Total non-current liabilities Long-term debt Total liabilities and equity Total property, plant and equipment Equity Current assets Total intangible assets Total current assets Investments Property, plant and equipment $ Liabilities and equity $ $ $