Balance Sheet Mandatory for Automobile The necessity of preparing a balance sheet mandatory for automobile dealers is not a simple matter to determine. It depends on the specific circumstances of the dealership and the jurisdiction in which it operates. In the United States, there is no federal law that requires automobile dealers to have… Read More »
Draft a Balance Sheet for Editors Here are some following steps which explain how to draft a balance sheet for editors: 1. Gather your financial records: This includes your income statements, balance sheets, and cash flow statements for the past year. 2. Categorize your assets and liabilities: Assets are resources owned by the business,… Read More »
Asset or Liability Asset or Liability, A is neither an assets nor a liability. Instead, it is a reduction in the price of a good or service offered by a company. Therefore, it is treated as a reduction from the revenue earned by the company rather than as an assets or a liability… Read More »
Estimated Balance Sheet Preparing projected and estimated balance sheet, one must anticipate the financial standing of a business at a future date by using projected information and assumptions. Here are the steps to prepare a projected and estimated balance sheet: 1. Gather Relevant Data: Collect historical financial statements, including balance sheets, income statements, and… Read More »
Balance Sheet Equation Balance sheet equation also known as the accounting equation, is a fundamental principle of accounting that states that the assets of a business are equal to the sum of its liabilities and owners’ equity. Mathematically, it can be represent as: Assets = Liabilities + Owners’ Equity This equation is always in balance,… Read More »