O-LevelAccountingPreparation of financial statements7707/12 · Oct/Nov 2021 · Q191 Mark
John maintains a full set of accounting records. Why does he also prepare a statement of financial position?
Ato calculate the profit for the year
Bto check if assets equal capital plus liabilities
Cto show the transactions which took place during the year
Dto summarise what the business owns and what it owes
✓ Correct answer
D: to summarise what the business owns and what it owes
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