The function of a correctly prepared Balance Sheet is to exhibit the true and correct view of the state of affairs of any concern.

This new edition targets those questions related to the Balance Sheet that arise from some tricky sounding financial jargons which play important role in determining the overall fiscal health of the organization.

ntroduction 1

1. The Balance Sheet

· What is a Balance Sheet?

· Quantitative

· Assets

· Liability

· Net Worth

· Balance Sheet Equation

· Changes in the Balance Sheet

2. Importance of a Balance Sheet

· Why Create a Balance Sheet?

3. The Assets Side

· Current Assets

· Fixed Assets

· Tangible Assets

· Intangible Assets

· Format for the Assets Side

· Example of the Assets Side

4. The Liability Side

· Current Liabilities

· Contingent Liability

· Long-term Liabilities

· Example of the Liabilities Items

5. The Owners Equity

· Share Capital

· Reserves and Surplus

· Format of the Liabilities Side

· Example of the Shareholders Funds

6. Formats of the Balance Sheet

· Standard Form or T-Form

· Statement Format or Report Format

· Vertical Format

· Working Capital

7. What to See in a Balance Sheet?

8. Example of Balance Sheet

· Balance Sheet of Infosys: Standard Format

· Balance Sheet of five Indian Apparel Retail

· Companies: Vertical Format