Cash Flows, Financial Statements, & Taxes

Now we get to talk about the Balance sheet and the Income Statement.

This is the standard outline of accounting that plays a huge role within Finance.

What is The Balance Sheet?

The Balance Sheet is a current look at the firm’s assets and liabilities.

For Accounting the Balance Sheet Identity is labeled as:

Assets = Liabilities + Equity

When it comes to finance the Balance Sheet Identity becomes:

Assets = Debt + Equity

Next Topic: TBD

Click to go home.