The Balance SheetCheatsheet
Read a balance sheet: what a business owns and owes at a moment, split into current and long-term.
Read a balance sheet: what a business owns and owes at a moment, split into current and long-term.
Learn what accounting does, the five account types, cash vs accrual, and the three core financial statements.
Follow the cash: how the statement splits money into operating, investing, and financing flows.
Build the organized, numbered list of every account your business uses to record its money.
Follow the full loop from transaction to closing that repeats every accounting period.
Learn the rules of debits and credits, how T-accounts work, and why every entry has to balance.
See why every transaction hits two accounts, and how that dual effect keeps the books self-checking.
Master the equation everything in accounting rests on: assets equal liabilities plus equity.
See how journal entries get posted into accounts, each keeping its own running balance.
Read an income statement from revenue down to net income, and see what each subtotal reveals.
Record transactions the right way: the anatomy of a journal entry and how compound entries work.
List every account balance and confirm total debits equal total credits before you build statements.