{"id":12893,"date":"2023-01-30T08:00:00","date_gmt":"2023-01-30T08:00:00","guid":{"rendered":"https:\/\/businessyield.com\/?p=12893"},"modified":"2023-01-30T18:59:48","modified_gmt":"2023-01-30T18:59:48","slug":"accounting-balance-sheet","status":"publish","type":"post","link":"https:\/\/businessyield.com\/finance-accounting\/accounting-balance-sheet\/","title":{"rendered":"Accounting balance sheet explained: samples, templates, examples and definition","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"\n

Accounting balance sheet, what is it used for, how to make a balance sheet. And also, balance sheet format, simple balance sheet example, balance sheet template, balance sheet formula, and balance sheet PDF.<\/p>\n\n\n\n

DEFINITION OF ACCOUNTING BALANCE SHEET<\/span><\/h2>\n\n\n\n

An accounting balance sheet of a business or organization or company is that part of the financial statement that contains details of the assets, liabilities, equity capital, and also total debt of the business.<\/p>\n\n\n\n

It\u2019s safe to say that balance sheets are like snapshots of the financial position of a company at a particular period of time. Most times it is calculated after every quarter, six months to a year of the beginning of the financial year.<\/p>\n\n\n\n

The main contents of the balance sheet are the assets and liabilities. What are the assets? “Assets” are those resources that are owned by the business. They can appear in two forms: fixed assets and non-fixed assets.<\/p>\n\n\n\n

 While liabilities are debts or obligations a company owes or is indebted to They are in form of current and non-current liabilities.<\/p>\n\n\n\n

Read also: Financial statement of company+detailed examples<\/a> <\/span><\/h4>\n\n\n\n

However, these two are not the only content of the balance sheet as another important content includes the owners\u2019 equity or shareholder. In writing a balance sheet you should know that assets and liabilities are always equal to the owners\u2019 equity. It is called the book value of a company. For a balance sheet to be able to show its true results and meaning both the assets and liabilities should tally (assets=liabilities + equity).<\/p>\n\n\n\n

The balance sheet is a financial statement that contains the basis of the company\u2019s return. And, as well, evaluates its capital structure as well.<\/p>\n\n\n\n

 USES OF ACCOUNTING BALANCE SHEET<\/span><\/h2>\n\n\n\n

They are several uses of an accounting balance sheet and they include:<\/p>\n\n\n\n