Net assets and capital employed must always balance because capital is never lost completely, but instead it is traded for assets, which have the same value as the original money paid for them.
Every single penny that they have raised to finance the business must have been spent in some way in the business.....even if it has just been put in the bank.You cannot spend money that does not exist! Mark Price
ummm because you need to know what the money going out is going to, and if you get the right amount back, so they are both equal . The money coming in would be the change, for example and the assets :)
Net assets and capital employment must always balance because what ever you buy you recieve the same amount back in assets for example if you buy a cd for £20 you will get the money back via the cd you brought.
so you get the even ammount of goods you need but the suppliers get thier share of money. Such as buying food from a supermarket you get what you need and pay the money but if you pay too much they owe you change to keep the balance between goods and capital.
Net assets and capital employed must always balance because whatever you spend out in money must equal the same amount of the assets value you recieve back into the business.
The assets and capital employed must balance because it shows the money that has gone out of the business that has been spent on assets. Each of the capital employed has to be accounted for and shows where the business spent the money.
Sophie Turner - net assets and capital employed must always balance because capital employed is the long-term money that has been raised, the net assets are the way in which the money has been spent therefore they must balance because you cannot spend money that you do not have.
The assests and capital employed must balance because it shows the money that has gone out of the business has been spent on assests. Each of the capital employed has to be accounted for and shows where the business has spent money. Nick
Net assets and capital employed must always balance because capital is never lost completely, but instead it is traded for assets, which have the same value as the original money paid for them.
ReplyDeleteAnthony Bench
they must always balance because if they don't then this shows that money has been 'lost' somewhere along the way.
ReplyDeleteTyanni: I can't remember :(
ReplyDeletethe assets and capital employed must be balanced because it shows the money that goes out of the company and the money that has been spent on assets
ReplyDeleteEvery single penny that they have raised to finance the business must have been spent in some way in the business.....even if it has just been put in the bank.You cannot spend money that does not exist!
ReplyDeleteMark Price
liam wright
ReplyDeleteit has to balance because if they do not balance, it shows that you have lost assets.
ummm because you need to know what the money going out is going to, and if you get the right amount back, so they are both equal . The money coming in would be the change, for example and the assets :)
ReplyDeletehollie brewer :)
Charlotte Mills
ReplyDeleteNet assets and capital employment must always balance because what ever you buy you recieve the same amount back in assets for example if you buy a cd for £20 you will get the money back via the cd you brought.
so you get the even ammount of goods you need but the suppliers get thier share of money. Such as buying food from a supermarket you get what you need and pay the money but if you pay too much they owe you change to keep the balance between goods and capital.
ReplyDeletegianni
Natasha Ewart-Jones
ReplyDeleteNet assets and capital employed must always balance because whatever you spend out in money must equal the same amount of the assets value you recieve back into the business.
The assets and capital employed must balance because it shows the money that has gone out of the business that has been spent on assets. Each of the capital employed has to be accounted for and shows where the business spent the money.
ReplyDeleteSophie Turner -
ReplyDeletenet assets and capital employed must always balance because capital employed is the long-term money that has been raised, the net assets are the way in which the money has been spent therefore they must balance because you cannot spend money that you do not have.
They must balance otherwise the busines will fail.
ReplyDeleteOllie manser
This is because capital employed is the money you have and net assests is what you own, you can't therefore spend money which you don't have
ReplyDeleteMattttt
The assests and capital employed must balance because it shows the money that has gone out of the business has been spent on assests. Each of the capital employed has to be accounted for and shows where the business has spent money.
ReplyDeleteNick
Capital employed and net assets have to be equal otherwise you are losing money. Capital isn't lost instead it is traded for assets.
ReplyDeleteChris Tyson