Finance
Statement of financial position (SoFP) --> Balans
(ex VAT)
SoFP --> should always be in ballance! (Assets <--> liabilities and equity)
Assets (Activa): the economic resources the organisation owes. (Cars,
machines, buildings, patents)
Non-current assets (> 1 year): things you use for more than 1 year.
- Intangible non-current assets --> Copyright, Website, trade
receivables (what a costumer still owes us).
- Tangible non-current assets --> Car, Attraction, Computer.
- Financial non-current assets --> If the company invests in another
company.
Current assets (< 1 year): Inventories, Receivables, cash and cash
equivalents (things that you can easily convert into money, think of
vouchers).
Equity: the owners claim on the organisation.
Equity = assets - liabilities
Liabilities: the outsiders claim on the organisation. Consists of debts and
loans.
Non-current liabilities (> 1 year): --> Bank loan, mortgage, family loan.
Current liabilities (< 1 year): --> Trade payables (you still have to pay it,
accounts receivable), bank overdraft (bank credit, if you have a negative
balance in the bank).
Types of bussines entity (soorten bedrijfseenheden)
- Sole partnership --> 1 type of equity (EV)
- Partnership --> 1 type equity per partner
- Private limited company --> shareholders’ equity and reserves
- Public limited company --> shareholders’ equity and reserves
, Income statement (ex VAT)
Here you describe when you've paid for something, but also if you've
made a sale but only sent the invoice, you describe that. You don't
actually have the money yet, but you do describe it in the income
statement.
Every business makes costs to ensure goods or services can be created
and sold. Examples: rental costs, personnel costs, marketing costs,
interest costs, depreciation costs.
- Measures how much profit a business has generated over a period.
- Profit: the increase of equity.
- Profit = Income -/- Expenses
- Income statement is also known as the statement of profit and loss /
P&L.
Sales revenue --> income --> earnings, but earnings are not always
receivables because if you send a invoice then you don't have the money
in the bank immediately.
Costs of sales --> The purchase price of the product sold or purchased.
What you paid to purchase the product.
Gross profit --> sales revenue – costs of sales
Operating costs --> other costs
EBITDA (Earnings Before Interest, Taxes, Depreciation,
Amortisation) --> gross profit – operating costs
EBIT (Earnings Before Interest and Taxation) --> EBITDA –
depreciation
Profit before tax --> EBIT – interest costs
Cost of inventories
Statement of financial position (SoFP) --> Balans
(ex VAT)
SoFP --> should always be in ballance! (Assets <--> liabilities and equity)
Assets (Activa): the economic resources the organisation owes. (Cars,
machines, buildings, patents)
Non-current assets (> 1 year): things you use for more than 1 year.
- Intangible non-current assets --> Copyright, Website, trade
receivables (what a costumer still owes us).
- Tangible non-current assets --> Car, Attraction, Computer.
- Financial non-current assets --> If the company invests in another
company.
Current assets (< 1 year): Inventories, Receivables, cash and cash
equivalents (things that you can easily convert into money, think of
vouchers).
Equity: the owners claim on the organisation.
Equity = assets - liabilities
Liabilities: the outsiders claim on the organisation. Consists of debts and
loans.
Non-current liabilities (> 1 year): --> Bank loan, mortgage, family loan.
Current liabilities (< 1 year): --> Trade payables (you still have to pay it,
accounts receivable), bank overdraft (bank credit, if you have a negative
balance in the bank).
Types of bussines entity (soorten bedrijfseenheden)
- Sole partnership --> 1 type of equity (EV)
- Partnership --> 1 type equity per partner
- Private limited company --> shareholders’ equity and reserves
- Public limited company --> shareholders’ equity and reserves
, Income statement (ex VAT)
Here you describe when you've paid for something, but also if you've
made a sale but only sent the invoice, you describe that. You don't
actually have the money yet, but you do describe it in the income
statement.
Every business makes costs to ensure goods or services can be created
and sold. Examples: rental costs, personnel costs, marketing costs,
interest costs, depreciation costs.
- Measures how much profit a business has generated over a period.
- Profit: the increase of equity.
- Profit = Income -/- Expenses
- Income statement is also known as the statement of profit and loss /
P&L.
Sales revenue --> income --> earnings, but earnings are not always
receivables because if you send a invoice then you don't have the money
in the bank immediately.
Costs of sales --> The purchase price of the product sold or purchased.
What you paid to purchase the product.
Gross profit --> sales revenue – costs of sales
Operating costs --> other costs
EBITDA (Earnings Before Interest, Taxes, Depreciation,
Amortisation) --> gross profit – operating costs
EBIT (Earnings Before Interest and Taxation) --> EBITDA –
depreciation
Profit before tax --> EBIT – interest costs
Cost of inventories
