Using the Accounting Equation in Your Small Business Bookkeeping
ContentThe basic accounting equationHow the Extended Equation WorksRevenue Formula in AccountingWhat does a balance sheet exclude?CoursesAssets = Liabilities + Owner's EquityWhat is the Expanded Accounting Equation?1 Defining the Accounting Equation Components With balance sheet data, you can evaluate factors such as your ability to meet financial obligations and how effectively you use credit to finance your operations . Understanding the different types of financial documents and the information each contains helps you better understand your financial position and make more [...]