Accounting balance sheet — Synthetic

The accounting balance sheet is essential in accounting. It is composed of two large masses, the asset and the passive. * The asset corresponds to the property owned by the community, it is the image of what it owns (materials, inventory, land, availability); * The liability gives the origin and composition of the funds of the community, it is the image of what it owes (social capital, result of the year, borrowings, financial debts). These two positions are balanced. The balance sheet is a financial document giving an image of the community’s assets at a time t, which is a specific date, the closing date of the financial year, 31 December (calendar year). The balance sheet consists of: * liabilities, to the right, which lists all the resources available to the community; * the asset, on the left, which denotes the use it makes of these resources. An accounting balance sheet can be analysed according to the following 4 blocks: * Fixed assets on the accounting balance sheet: set of capital assets required for community activity (Machines, titles, production tools) * Assets circulating in the accounting balance sheet: all assets held by the community and intended not to remain there on a long-term basis (Stocks, receivables,..) * Own capital of the accounting balance sheet: Share capital (debts vis-à-vis partners) and reserves. * Other liabilities on the accounting balance sheet: obligations towards a third party resulting in a certain exit of cash (bank bank, supplier debt) The detailed report is presented with the previous year’s reminder, which makes it possible to compare several years. We find: To the asset: fixed assets; The locked-in asset is the asset intended to remain in the community for a long time. It is said that the asset is immobilised in opposition to the circulating asset because it is not as liquidable. The locked-in asset is valued by its cost of purchase or production (if the community produces it itself) and certain assets can be depreciated. The asset is what the community has, whether these elements are material or intangible. In other words, these are the elements used by the community for the purposes of its activity. Liabilities: permanent capital including equity. The greater the equity, the greater the community’s ability to deliver on its long-term commitments. Equity, as a stable resource of the community, is used to finance investments. The liability represents essentially all debts. The Synthetic balance sheet provided by the Public Accountant is attached in PDF form.