Balance Sheet


The balance sheet provides a good picture of the financial health of a business and is a tool used to evaluate liquidity. The concept helps small business owners, managers and practitioners to quickly grasp this financial term and to understand and identify the strength and capabilities of the balance sheet.

Technique Overview

Balance Sheet

Balance Sheet Definition

The Balance Sheet shows the financial position of a company at a particular moment in time, such as the end of the financial year. It lists the company's assets, liabilities and equity capital (Chisholm, 2010). The Balance Sheet provides a snapshot of company assets and the sources of money that was used to buy those assets. The items in the Balance Sheet are listed in declining order of liquidity (Brealey and Myers, 2003).

Balance Sheet Description *

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Business Evidence

Balance Sheet Strengths *

Balance Sheet Weaknesses *

Examples of Balance Sheet *

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Business Application

Balance Sheet Implementation *

Success Factors of Balance Sheet *

Measures of Balance Sheet *

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Professional Tools

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Balance Sheet Downloads *

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Further Reading

Balance Sheet Web Resources *

Balance Sheet Print Resources *

Balance Sheet References (4 of up to 20) *

  • Brealey, R.A., Myers, S.C. (2003) Financing and Risk Management. McGraw-Hill Professional.
  • Chisholm, A.A. (2010) An Introduction to International Capital Markets: Products, Strategies, Participants. John Wiley & Sons.
  • Forbes (2011) Sprint Stock Signals Rough Ride Up To $5. Oct 13. Available at: [Accessed on 24 November 2011].
  • Fried, K. (2003) Security woes hit Microsoft balance sheet. CNET, Oct 23. Available at: [Accessed on 24 November 2011].

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