balance sheet meaning
- Noun: balance sheet baluns sheet
- A record of the financial situation of an institution on a particular date by listing its assets and the claims against those assets
Derived forms: balance sheets
Type of: record
Encyclopedia: Balance sheet
a written statement that shows the financial state of a company at a particular time. It lists the company's assets and all money owed (liabilities):
At present, the airline has zero debt on its balance sheet.
dependable companies with strong balance sheets
We plan to strengthen our balance sheet by selling some of our assets.
The company's balance sheet remains healthy despite the recent recession.
a healthy/strong balance sheet
◆ to improve/strengthen your balance sheet
A statement of the total assets and liabilities of an organization at a particular date, usually the last day of the accounting period. The first part of the statement lists the fixed and current assets and the liabilities, the second part shows how they have been financed; the totals for each part must be equal. Under the Companies Act the balance sheet is one of the primary statements to be included in the financial accounts of a company. The Companies Act requires that the balance sheet of a company must give a true and fair view of its state of affairs at the end of its financial year, and must comply with statute as to its form and content. There are two possible balance-sheet formats. In both formats, corresponding amounts for the preceding financial year should be shown. A balance sheet does not necessarily value a company, as some assets may be omitted, or given an unrealistic value.
Also called the statement of financial condition, it is a summary of a company's assets, liabilities, and owners' equity.
A document presenting in summary form a true and fair view of a company's financial position at a particular time (e.g. at the end of its financial year). It must show the items listed in either of the two formats set out in the Companies Act 1985. Its purpose is to disclose the amount that would be available for the benefit of members if the company were immediately wound up and liabilities were discharged out of the proceeds of selling its assets. See ACCOUNTS; STATEMENTS OF STANDARD ACCOUNTING PRACTICE.
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- it is our pleasure to submit the balance sheet ...
- but we drew up a different balance sheet.
- mostly i've been looking at balance sheets.
- then followed a most remarkable paragraph headed the balance sheet.
- to be more precise, i learned a great deal about their balance sheets.