Prepare Balance Sheet:

To do this activity you are required to assume the amount and line items that are to be shown on the balance sheet of your business selling homemade articles. Using the information that you have assumed, prepare a balance sheet as of today's date as per IAS $1.$

IV $$ Analysis:

 

 

$1.$ Calculate your total assets and total liabilities $+$ shareholders' equity. Do they balance? Explain the significance of this balance.

$2.$ Based on your balance sheet, what can you say about your overall financial position? $\mathrm{<br>}$

$3.$ What are some limitations of using a balance sheet to understand your complete financial picture? $\mathrm{<br>}$