Editing Balance sheet (section)

==Types==
A balance sheet summarizes an organization's or individual's assets, [[Equity_(finance)|equity]] and [[Liability_(financial_accounting)|liabilities]] at a specific point in time. Two forms of balance sheet exist. They are the report form and  account form. Individuals and small businesses tend to have simple balance sheets.<ref>{{cite web |url=http://www.sba.gov/library/balsheet.xls |archive-url=https://web.archive.org/web/20070715223932/http://www.sba.gov/library/balsheet.xls |archive-date=2007-07-15 |title=US Small Business Administration sample spreadsheet for a small business |access-date=2003-08-10 }}</ref> Larger businesses tend to have more complex balance sheets, and these are presented in the organization's [[annual report]].<ref>{{cite web|url=http://www.microsoft.com/msft/ar04/nonflash/10k_fr_bs.html |title=Microsoft Corporation balance sheet, June 30, 2004 |publisher=Microsoft.com |access-date=2012-10-04}}</ref> Large businesses also may prepare balance sheets for segments of their businesses.<ref>{{cite web|url=http://www.ibm.com/annualreport/2004/annual/md_8fc.shtml |title=International Business Machines "Global Financing" balance sheet comparing 2003 to 2004 |publisher=Ibm.com |access-date=2012-10-04}}</ref> A balance sheet is often presented alongside one for a different point in time (typically the previous year) for comparison.<ref>{{cite web|url=http://www.xbrl.org/taxonomy/int/fr/ifrs/ci/2003-07-15/ifrs-ci-2003-07-15_files/image016.jpg |title=Balance sheet comparing two year-end balance sheets |access-date=2012-10-04}}</ref><ref>{{cite web | url=http://www.timberry.com/fm/BalanceSheet5-1-04.png|archive-url=https://web.archive.org/web/20071019044218/http://www.timberry.com/fm/BalanceSheet5-1-04.png|archive-date=2007-10-19 |title=Balance sheet comparing two year-end balance sheets |access-date=2010-05-08 }}</ref>

===Personal===
A personal balance sheet lists current [[asset]]s such as cash in [[checking account]]s and [[savings account]]s, long-term assets such as [[common stock]] and [[real estate]], current liabilities such as [[loan]] debt and [[mortgage loan|mortgage]] debt due, or overdue, long-term liabilities such as [[mortgage]] and other loan debt. Securities and real estate values are listed at [[market value]] rather than at [[historical cost]] or [[cost basis]]. Personal [[net worth]] is the difference between an individual's total assets and total liabilities.<ref>{{cite web |url=http://www.state.co.us/oed/sbdc/business/pbs.pdf|archive-url=https://web.archive.org/web/20080307003615/http://www.state.co.us/oed/sbdc/business/pbs.pdf|archive-date=2008-03-07 |title=Personal balance sheet structure |access-date=2010-05-08 }}</ref>

===US small business===
{| class="wikitable" style="float: right; width: auto; margin-left: 0.75em;"
|+ Sample Small Business Balance Sheet<ref>Williams, p. 50.</ref>
|-
! colspan="2" style="text-align: left" | [[Asset]]s (current)
! colspan="3" style="text-align: left" | Liabilities and Owners' Equity
|-
| style="border-right-style: none" | Cash
| style="text-align:right; border-left-style:none;" | $6,600
! colspan="3" style="text-align: left" | ''Liabilities''
|-
| style="border-right-style: none" | Accounts Receivable
| style="text-align:right; border-left-style:none;"| $6,200
| style="border-right-style: none" | [[Promissory note|Notes Payable]]
| style="text-align:right; border-style:none;"| $5,000
| style="border-left-style: none" | 
|-
! colspan="2" style="text-align: left" | Assets (fixed)
| style="border-right-style: none" | Accounts Payable
| style="border-left-style: none; border-right-style: none; | $25,000
| style="border-left-style: none" | 
|-
| style="border-right-style: none" | Tools and equipment
| style="text-align:right; border-left-style:none;" | $25,000
| colspan="2"  style="text-indent: 1.5em; border-right-style:none;" | ''Total liabilities''
| style="text-align:right; border-left-style:none;" | $30,000
|-
| colspan="2" | 
! colspan="3" style="text-align: left" | ''Owners' equity''
|-
| colspan="2" | 
| style="border-right-style: none" | Capital Stock
| style="text-align:right; border-style:solid none;" | $7,000
| style="border-left-style: none" | 
|-
| colspan="2" | 
| style="border-right-style: none" | Retained Earnings
| style="text-align:right; border-style:none;" | $800
| style="border-left-style: none" | 
|-
| colspan="2" | 
| colspan="2" style="text-indent: 1.5em; border-right-style:none;" | ''Total owners' equity''
| style="text-align:right; border-left-style:none;" | $7,800
|-
| style="border-right-style: none" | ''Total''
| style="text-align:right; border-left-style:none;" | '''$37,800'''
| colspan="2" style="border-right-style: none" | ''Total''
| style="text-align:right; border-left-style:none;" | '''$37,800'''
|}

A small business balance sheet lists current assets such as cash, [[accounts receivable]], and [[inventory]], fixed assets such as land, buildings, and equipment, [[intangible asset]]s such as [[patent]]s, and liabilities such as [[accounts payable]], accrued expenses, and long-term debt. [[Contingent liabilities]] such as [[warranties]] are noted in the footnotes to the balance sheet. The small business's equity is the difference between total assets and total liabilities.<ref>{{cite web|url=https://www.sba.gov/content/financial-statements|publisher=U.S. Small Business Administration|title=Get more funding|work=Business Guide|access-date=2022-07-15}}</ref>

===Charities===
In [[England and Wales]], smaller [[charities]] which are not also companies are permitted to file a statement of [[asset]]s and liabilities instead of a balance sheet. This statement lists the charity's main assets and liabilities as at the end of its financial year.<ref>[[Charity Commission for England and Wales]], [https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/585971/CC16b.pdf Receipts and Payments Accounts Introductory Notes], document CC16b, published June 2013, new format January 2017, accessed 16 November 2023</ref>
{{Clear}}