How to Analyze a Balance Sheet
From: www.linkedin.com (Systems for Business)
What is a balance sheet?
A balance sheet shows you what a company OWNS and OWES.
It’s like a company’s “Net Worth” statement.
🔢 Balance Sheet Formula:
Assets = Liabilities + Shareholders Equity
📸 Balance Sheet = Snapshot
Balance sheet = snapshot -> at a certain point in time
💰 Assets:
What the company OWNS
Two categories of assets:
→ Current Assets: Assets that are expected to be used in <1…