Why it’s worth using the Finoko online application to compile a balance sheet

The balance sheet is an important tool for assessing the financial condition of a company.

The Finoko online application provides opportunities to create customizable balance reports that help with financial management and informed decision-making.

What is a balance sheet?

This is a financial report that summarizes the financial condition of the company at a certain point in time. Note that the balance statement includes three main components:

• assets;
• Obligations;
• own capital.

Assets represent everything that the company owns and that has value. This may include cash, investments, real estate, equipment, and other assets. Obligations indicate all debts and obligations of the company to other parties. These can be loans, debts to suppliers, tax obligations and other financial obligations. Equity is the difference between a company’s total assets and total liabilities. It represents the contribution of shareholders and the accumulated profit of the company.

Why is balance important?

The balance sheet plays an important role in assessing the financial position of the company. It provides an idea of how many assets a company has, how much it owes, and what its net worth is. This helps investors, lenders and other stakeholders understand the financial stability and prospects of the company.

The balance sheet includes various types of assets and liabilities that are reflected in the financial condition of the company. Assets may include cash, investments, inventories, and accounts receivable, while liabilities may include loans, mortgages, and bills payable. It is important to understand that the balance sheet is a kind of financial «snapshot» of a company at a certain point in time and may change depending on the dynamics of its business operations.