A Balance Sheet gives you a financial snapshot of the company as of the specific date. It calculates how much the company is worth (its equity) by subtracting all the money it owes (liabilities) from the money it owns (assets), specifically focusing on total assets. The balance sheet complies with the accounting equation: ASSET = EQUITY + LIABILITY Liability is an obligation toward another party to pay money, deliver goods and render service. In this blog, we discuss 2 commo
