Assets are quantifiable things — tangible or intangible — that add to your company’s value Liabilities are what your company owes to others, whether that’s an investor or a bank that issued a loan ...

Equity is how much money you or your shareholders would have left if you were to liquidate the company and pay off all the debts. On your balance sheet, your company's assets equal your liabilities ...

The balance sheet provides a look at a business at a snapshot in time, often at the end of a quarter or year. In some cases, the accounts on the balance sheet -- assets, liabilities, and equity -- can ...

If you're interested in investing, you've probably read quite a few articles that say "do your homework" before buying a stock. Reading and understanding a balance sheet is part of that homework.

Equity represents the accounting (book) value of a company or it can represent ownership of a specific asset, such as a car or house. Learn more about equity in finance and how investors use it to ...

Stakeholders in a business need a way to conveniently assess the financial position of the firm. The balance sheet is a document designed to do just that. It provides a concise summary of everything a ...

Many investors look to the amount of income a company is able to produce from given investment of resources as a measure of its fundamental strength. Calculating returns as a percentage of total ...

Joseph Nguyen is a contributing author at Investopedia and a research analyst with experience at a securities brokerage firm. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA Society ...

A statement of shareholder equity can tell you if your business is doing well or if it's time to fine-tune some of your activities.

Andrew Bloomenthal has 20+ years of editorial experience as a financial journalist and as a financial services marketing writer. Somer G. Anderson is CPA, doctor of accounting, and an accounting and ...