A balance sheet is a snapshot of what a company owns and owes and is comprised by assets, liabilities, and owners equity.
• Where:
Assets = Liabilities + Shareholders' Equity |
A balance sheet is a financial statement that describes a company's financial condition during a certain period such as a fiscal year.
An asset is something the business owns that has monetary value. Liabilities are claims from creditors against the assets of the company. The difference between the assets and the liabilities is the net worth of the company.
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