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Plants R Us is a small gardening shop. For the following list of items, in...

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Accounting

Plants R Us is a small gardening shop. For the following list of items, in the year ended 31.12.XX, decide whether each item is an asset, a liability, or part of the owners equity for the business. Are the assets or liabilities likely to be non- current (i.e. long-term), or current? Then rearrange the items in the vertical format of Statement of Financial Position.

1. 100 plastic plant pots on sale to the public at the rate of 15 per pot. The flowers for these pots were obtained from Red Roses Ltd

2. the owners flat where she lives (this is above the shop)

3. 500 owed to Red Roses Ltd, which supplies Plants R Us with potted flowers

4. 50,000 owed to the bank for purchase of the shop

5. the shop which was fully purchased using the bank loan

6. 25 in the cash register (till)

7. 2,045 in the businesss bank account

8. 40 owed by a local restaurant, which bought some boxes of plants to display

9. 10,000 of the owners own money used to buy the shop fittings (e.g. shelves) and stock purchases. The fixtures cost 8,500, and the rest was used to buy plastic pots

10. 30 owed for electricity charges 11. Retained profits of 2,080

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