The annual financial statements are a collection of assertions laid out in a particular format, i.e. the balance sheet, income statement, and accompanying notes. The balances reflected in the balance sheet assert (or represent) certain things for assets, and slightly different things for liabilities. Totals in the income statement, such as interest paid, assert or represent similar, but again, different things, as do the accompanying notes in the financial statements.

Required:

Construct a chart that reflects the assertions which relate to:

a) Trade Debtors

b) Long term loans

c) Interest paid

d) Plant and equipment

e) Interest received

Answer rating: 100% (QA)

List of assertions are as follows Trade Debtors Long Term Loans Interest paid Plant Equipment Inte... View the full answer