The balance sheet is an accounting

The balance sheet is an accounting statement that reflects all assets, liabilities and owner's equity of an enterprise on a specific date (such as the end of the month, the end of the quarter and the end of the year). It is a static embodiment of the enterprise's business activities. According to the balance formula of "assets = liabilities+owner's equity", the specific items of assets, liabilities and owner's equity on a specific date are properly arranged and compiled according to a certain classification standard and a certain order. The balance sheet helps to fully reflect the occupation and composition of an enterprise's assets, and can be used to analyze and calculate the capital composition of an enterprise and its long-term and short-term solvency.