11. Accounts that normally show credit balances are a) Assets, expenses, drawings b) Liabilities, expenses and capital c) Liabilities, capital and revenue d) Capital, inventory and overdraft WW 12. Which of the following statements about a journal is correct? a) A list of accounts with their balances at a given time b) It provides a chronological record of transactions c) It helps to locate errors in recording the transactions d) It does not prove all transactions have been recorded - 13. Which if the following items is NOT included in owner's equity? a) Shareholdings b) Profit or Losses c) Drawings d) Capital 14. What is the purpose of preparing financial statements? a) To show the business performance of the business and its financial position b) To indicate the profitability amount of a business c) To record all transactions in the accounts d) To ensure the directors and employees are being compensated 15. Which of the following statements is true about current asset? a) An asset used to produce a product or service b) Current asset consists of inventories, accounts payable and cash balance c) Separate classification in the Statement of Profit of Loss d) Expected to be realised in cash or sold within one year of business' operating cycle