Balance Sheet

A financial statement that reports the financial position of a business at a point in time; lists the types and dollar amounts of assets, liabilities, and equity as of a specific date; also called the statement offinancial position.

• Used to show the financial position of a business entity on a specific date.

• They are always prepared at the end of the year and often more often.

• A balance sheet lists the businesses' assets, liabilities and owner's equity.

• The balance sheet is dated because the financial position can change quickly.

Features:

Heading

Three Sections: assets, liabilities and owner's equity.

>> More Accounting Terms & Glossary?