Balance sheet


 

Home
Site Map
Add Term
Search
About Us
Contributors

Balance sheet

Forms part of the annual report and is the statement of a value for a company's assets and liabilities and the end of the financial year (balance sheet date). It shows a company's financing through external debt, profit generation and the issuing of share capital.

Balance sheet

One of the main components of a company's Report and Accounts, the balance sheet provides a snapshot of everything the company owes and owns at the end of the financial year in question. On a specific date it lists:tangible assetsintangible assetsstockdebtorscashbank creditorstrade creditorsshare capitalreservesWhere the profit and loss account tells you how the company has performed in the previous year, the balance sheet reveals things about its fundamental health, like whether it can pay its debts and how good its cash management is. A 'strong' balance sheet is one where liabilities (including borrowings) are considerably outweighed by assets (including cash).Significance: if the company is having problems, the balance sheet (together with the cash flow statement) will tell you whether it can stand the strain.



Similar Matches

Double Declining Balance Method Of Depreciation

Double Declining Balance Method Of Depreciation

A use of the declining balance method, but with double the depreciation allowable by straight line. An accelerated method.


Remaining principal balance

Remaining principal balance

The amount of principal dollars remaining to be paid under a mortgage as of a given time.


Balance on goods and services

Balance on goods and services

Netting of transaction balances, including the net amount of payments of interest and dividends to foreign investors and investments, as well as receipts and payments resulting from international tourism.


Payments imbalance

Payments imbalance

Imbalance in the balance of payments, normally including both current and capital accounts.


Target cash balance

Target cash balance

Optimal amount of cash for a firm to hold, considering the trade-off between the opportunity costs of holding too much cash and the trading costs of holding too little cash.


Further Suggestions

Low balance method
Balanced trade
Balance of payments deficit
Payment of balance
Balance breakdown
Adjusted balance method
Balance of payments
Balance of payments equilibrium
Trade imbalance
Significant order imbalance
Balanced fund
balance of trade
balance of payments
Credit balance
balanced mutual fund
Double declining balance depreciation method (DDB)
Balance of indebtedness
Buyers or sellers on balance
Balanced budget
Balance of payments adjustment mechanism
Imbalance
Balance of payments argument for protection
Balance on current account
Balance on capital account
Debit balance


 
All rights Reserved. Do not copy without permission. T4 Innovations Ltd