Uploaded on

 

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Be the first to comment
    Be the first to like this
No Downloads

Views

Total Views
879
On Slideshare
0
From Embeds
0
Number of Embeds
0

Actions

Shares
Downloads
11
Comments
0
Likes
0

Embeds 0

No embeds

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
    No notes for slide

Transcript

  • 1. Balance Sheet
  • 2. A Balance Sheet is a detailedexpression of the accountingequation for a business at a certainpoint in time. It is a major reportthat lists the various asset, liabilityand owner’s equity items.
  • 3. • usually presented in the form of the accounting equation A – L = OE• prepared after Income Statement – net profit/loss is included in the Owner’s Equity section
  • 4. • assets are listed in order of liquidity – those assets most easily converted into cash are listed first• liabilities are listed in the order they would be repaid – those repaid quickest are listed first down to those taking longer to repay last
  • 5. • all accounts provided in the sheet are listed with their final balances except for the capital a/c• the capital a/c lists the balance at the beginning of the period and indicates net profit and drawings for the period resulting in the closing capital balance