<p>Hello.
I'm an International Student and I'm having filling financial aid documents because I don't understand many things.
I hope you can help me again @keesh17 but I appreciate any help possible.</p>
<ol>
<li><p>What does it means by monthly mortage payment on a business? Is it asking for the rent my dad pays on locals and offices?</p></li>
<li><p>On the Business Deductions, what does it means by depreciation and interest expense? Does the business loses it values each year? My dad owns his and I'm pretty sure he doesn't makes those calculations... And what is interest expense?</p></li>
<li><p>What is the difference between current and fixed assets?</p></li>
<li><p>I'm sorry, but what the f are liabilities? Mortages on land and buildings, debts secured by equipment...?</p></li>
</ol>
<p>Thanks.</p>
<p>1) Would be a loan (mortgage) which was used to buy (not rent) the office, shop, etc from which the business operates.</p>
<p>2) If your Dad doesn’t deprecuiate anything then enter “0”. If your Dad borrows money to run the business then the cost of the borrowing the money (or the interest) would be reported here.</p>
<p>3) Current assets could be the total value of the products or items that the business sells. If the business doesn’t sell anything then it would be “0”. Fixed assets would be equipment or buildings</p>
<p>4) Liabilities are money that is owed to people such suppliers of the items that the business sells, wages or salaries that are owed to workers but not yet paid, bills which are due but not yet paid such as utilities or lawyer fees. Mortgages are loans that were used to by buidings for the business. Debts secured by equipment are loans that were used to purchase equipment.</p>