A company’s balance sheet is one of several important financial statements that report on its performance. But to understand the importance of a balance sheet, you need to understand the balance sheet equation and the types of accounts it uses. Then you can download a balance sheet…
Not keeping track of your balance sheet is one of the quickest ways to doom your business. You need to know whether you can make debt payments, if you have too much inventory, and even how much your customers owe you.
The first step to reading a balance sheet is understanding the difference between assets and liabilities…
Net Sales is the sales or revenue that your business has earned after all sales adjustments have been taken. Net sales is reported on your income statement, and should always be calculated for any business that sells products.
A service business needs to calculate net sales, such...