Explanation
Marshalling of assets and liabilities refers to the process of arranging the items of a balance sheet (assets and liabilities) in a specific order. In other words, it is a process of arranging the various assets and liabilities appearing in a balance sheet as per a specific order. Hence, option D is correct.
Postage and stamp expenses are indirect expenses. Therefore, these expenses are shown in expenditure side of profit and loss account and are not included in the cost of goods sold.
The statement of financial position also known as a Balance Sheet represents the Assets, Liabilities and Equity of a business at a point in time. It is one of the three core financial statements that are used to evaluate a business. Hence, option B is correct.
The Balance sheet is the statement which shows the assets, equity and liabilities of the company. It is divided under Assets and equity & liabilities heads. It shows balances of Personal and real account. Hence, option D is correct.
Please disable the adBlock and continue. Thank you.