The balance sheet is a snapshot at a single point in time of the company's accounts - covering its assets, liabilities and owners' equity. The purpose of the balance sheet is to give users an idea of the company's financial position along with displaying
Here is a break-down of what the accounting equation is and how it is used in bookkeeping.
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How to Read a Balance Sheet. A balance sheet is a snapshot of a business's financial health on any given day. It is a detailed document of what a business owns, what it owes, and who that money belongs to.