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Discount On Bonds Payable Balance Sheet Example Presentation The Premium Account Is Shown As Deducted

Worksheet Details

  • CategoryBalance Sheet.
  • TopicBonds payable balance sheet example.
  • AuthorKate Selle
  • PostedSat, Aug 10th 2019 16:52 PM
  • Formatjpg/jpeg

A balance sheet helps individuals and business owners understand where their finances stand during a specific time period. A person reading a balance sheet can learn a lot about a business and its viability.

The balance sheet is basically a report version of the accounting equation also called the balance sheet equation where assets always equation liabilities plus shareholder’s equity. In this way, the balance sheet shows how the resources controlled by the business (assets) are financed by debt (liabilities) or shareholder investments (equity). Investors and creditors generally look at the statement of financial position for insight as to how efficiently a company can use its resources and how effectively it can finance them.

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