Finance and accounting
Balance sheet
What a company owns and owes at one point in time.
Last reviewedWhat does Balance sheet mean?
The balance sheet lists a company's assets (what it owns), liabilities (what it owes) and equity (the owners' share) on a given date. It always balances: assets = liabilities + equity.
Where does it come up in case interview prep?
Related terms
- Income statement (P&L)Revenue, costs and profit over a period.
- Working capitalCash tied up in running the business day to day.
- ProfitThe money left over after costs. Revenue minus cost.
- RevenueMoney earned from sales, before costs.
- CostWhat it takes to make and sell the product in a period.
- Fixed costA cost that stays the same when volume changes, within a normal range.
- Variable costA cost that rises and falls with how much you make.
- Semi-variable costA cost with a fixed part and a part that moves with volume.