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How do you create a balance sheet?

Use the basic accounting equation to make a balance sheets. This is Assets = Liabilities + Owner's Equity. Thus, a balance sheet has three sections: Assets, which are the resources owned; Liabilities, which are the company's debts; and Owner's Equity, which is contributions by shareholders and the company's earnings.

How do you prepare a balance sheet?

Prepare the header of the balance sheet. Use the title “Balance Sheet,” at the top of the page. Beneath it, list the name of the organization, and the effective date of the balance sheet (the last day of the quarter or fiscal year).

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