White paper common financial mistakes

Note: all statements below are INCORRECT and should be answered with WRONG!…..

1. Costs are the same as payments, just like revenue and receipt.
2. The Balance Sheet is in balance through an accounting trick.
3. If I make a purchase I incur costs in the P&L and that is detrimental to the profit.
4. The interest percentage that I can borrow at from the bank or the WACC should be used when assessing a possible investment.
5. If equity is on the right side of the balance sheet, it has the same meaning as when it is on the left.
6. I can best stop delivering to customers that create losses for me.
7. Companies go bankrupt because they make heavy losses.
8. All financial statements within my company must comply with the law.