Shareholder's Equity: the Last Piece on Balance Sheet Learn about the structure of shareholder's equity, and how capital stock, additional paid-in capital, surplus reserve, and retained earnings work.
Liabilities: Current and Noncurrent A company will classify liabilities within 12 months as current and beyond 12 months as Noncurrent. Read to learn more.
Fair Value vs. Historical Cost: Rules, Applications, and Exceptions Knowing the total worth of your assets on the balance sheet is important. But what number should you use? Fair value or historical cost?
Analyze Balance Sheet to Understand How Companies Work Understanding how companies work by reading balance sheet. Compare manufacturing, service, pro sports, and agricultural companies.
Understanding Assets on the Balance Sheet To clearly describe the economic activities of a company, a company first needs a Balance Sheet. The reason is to understand what the initial investment has become, and whether its value is maintained. This is what Balance Sheet looks like. A Balance Sheet is mainly divided into two columns, one
The Importance of Financial Statements and Why We Need Them Sharing my learning on Financial Analysis and Decision Making. Financial Statements help us understand the economic activities in a business.