a record of the financial situation of an institution on a particular date by listing its assets and the claims against those assets
: A summary of a person's or organization's assets, liabilities and equity as of a specific date.
In financial accounting, a balance sheet or statement of financial position is a summary of the financial balances of a sole proprietorship, a business partnership, a corporation or other business organization, such as an LLC or an LLP. Assets, liabilities and ownership equity are listed as of a specific date, such as the end of its financial year. A balance sheet is often described as a "snapshot of a company's financial condition". Of the four basic financial statements, the balance sheet is the only statement which applies to a single point in time of a business' calendar year. A standard company balance sheet has three parts: assets, liabilities and ownership equity. The main categories of assets are usually listed first, and typically in order of liquidity. Assets are followed by the liabilities. The difference between the assets and the liabilities is known as equity or the net assets or the net worth or capital of the company and according to the accounting equation, net worth must equal assets minus liabilities. Another way to look at the same equation is that assets equals liabilities plus owner's equity. Looking at the equation in this way shows how assets were financed: either by borrowing money or by using the owner's money. Balance sheets are usually presented with assets in one section and liabilities and net worth in the other section with the two sections "balancing."
The numerical value of balance sheet in Chaldean Numerology is: 6
The numerical value of balance sheet in Pythagorean Numerology is: 5
Sample Sentences & Example Usage
Under the conditions that existed then, you’d rather own 90 percent of a company with a stronger balance sheet than 100 percent of one with a slightly worse balance sheet.
More and more plan sponsors are looking to insurance companies such as Sun Life to transfer that pension risk from their balance sheet over to the insurance company's balance sheet.
This agreement significantly strengthens Frontline's balance sheet and reduces the financial risk. The board and management can now shift the focus from balance sheet restructuring to business development and growth.
We see a lot of runway in this market, more and more plan sponsors are looking to insurance companies such as Sun Life to transfer that pension risk from their balance sheet over to the insurance company's balance sheet.
We've got a strong balance sheet, we've got cash and we produce in Australian dollars, which for us means the copper price is flat, this gives us a competitive advantage sitting here looking out across the globe, with most other companies under pressure from over-leveraged balance sheets.
Images & Illustrations of balance sheet
Translations for balance sheet
From our Multilingual Translation Dictionary
Get even more translations for balance sheet »
Find a translation for the balance sheet definition in other languages:
Select another language:
Discuss these balance sheet definitions with the community:
Word of the Day
Would you like us to send you a FREE new word definition delivered to your inbox daily?
Use the citation below to add this definition to your bibliography:
"balance sheet." Definitions.net. STANDS4 LLC, 2017. Web. 27 Mar. 2017. <http://www.definitions.net/definition/balance sheet>.