The document discusses Mr. Jack's pizza shop balance sheet as of June 30, 2011. A balance sheet lists a business's assets (what it owns), liabilities (what it owes), and proprietorship (the owner's equity). Mr. Jack's assets include cash, debtors, inventory, a refrigerator, pizza oven, and delivery car. His liabilities include creditors and a mortgage. His proprietorship is listed as his capital contribution of $600.

1. Learning Objective
To know what a Balance Sheet
consist of

2. Hi!
I am Mr Jack.
I own a pizza
shop

3. Assets

5. Sure no
worries.
Hi Mr Jack ! Three BBQ chicken pizzas.
Charge it to ABC Pty Ltd. Send us an invoice.

6. Liabilities

7. Okay Mr
Jack…Is this
a tomato?
Mrs Green I need
No honey, it’s the
some tomatoes .
red round fruit
I’ll pay later. Send me
behind you.
an invoice.

8. Here’s a dollar
I need a loan to
renovate my
pizza shop
Come on! I need
at least $10,000

9. Mortgage on the
shop is $500 a
week…Damn.
I think I will just
burn the mortgage
bill.

10. Mr Jack's Pizza Shop
Balance Sheet as at 30 June 2011
Assets Liabilities
Cash $2,000 Creditors $300
Debtors $100 Bank loan $5,000
Ingredients $800 Mortgage $10,000
Refrigerator $2,000
Pizza oven $3,000 Proprietorship
Delivery car $8,000 Capital - Mr Jack $600
$15,900 $15,900

11. Discussion
Give me some examples of Assets and Liabilities
of the school.
Give me some examples of Assets and Liabilities
of a CD shop.

12. Assets Liabilities
$55,850 $12,050
Proprietorship/Owners’
Equity
$55,850 - $12, 050 = $43, 800

13. Activity
Taminmin College has $70,000 worth of assets
and its liabilities amounts to $40,000.
What is the amount of the
Proprietorship/Owners’ Equity?
Assets - Liabilities =
Proprietorship/Owners’ Equity

14. Mr Jack's Pizza Shop
Balance Sheet as at 30 June 2011
Assets Liabilities
Cash $2,000 Creditors $300
Debtors $100 Bank loan $5,000
Ingredients $800 Mortgage $10,000
Refrigerator $2,000
Pizza oven $3,000 Proprietorship
Delivery car $8,000 Capital - Mr Jack $600
$15,900 $15,900

15. Assessment
Classify each item to Assets or Liabilities and
work out the Proprietorship:
(1) Machinery $3000,
(2) Debtors $5000,
(3) Inventory $2000,
(4) Westpac account $10,000,
(5) Bank loan $8000,
(6) Bank overdraft -ANZ $500 and
(7) Creditors $2000.

16. What is a bank
What is inventory?
overdraft?
The quantity of goods and
A bank overdraft is when someone
materials on hand.
is able to spend more than what is
actually in their bank account.
For example: Record of the
amount of ingredients (to make
For example: I have $0 in my
pizza) kept in the storeroom or
bank, but I still withdraw $20 from
the refrigerator.
the ATM.
My bank overdraft is $20.

17. Mr Jack's Pizza Shop
Balance Sheet as at 30 June 2011
Assets Liabilities
Bank - Westpac $10,000 Bank overdraft -Anz $500
Debtors $5,000 Creditors $2,000
Inventory $2,000 Bank loan $8,000
Machinery $3,000
Proprietorship
Capital - Mr Jack $9,500
$20,000 $20,000