accounting

balance sheet

A financial statement showing a company's assets, liabilities, and shareholders' equity at a specific point in time.

Example

"The company's balance sheet showed $10 million in assets and $7 million in liabilities."

💡 Memory Tip

A BALANCE sheet must BALANCE — assets always equal liabilities plus equity.

Etymology

Balance (equilibrium) + sheet (a page of accounts) — a page showing assets and liabilities in balance.

Common Misspellings

balance sheatbalance shetbalance shieetbalence sheet

Related Terms

equity

See Also

assetsliabilitiesfinancial statement

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