How to read a balance sheet
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How to read a balance sheet
A balance sheet is a list of how much a business has, how much a business owes to others, and how much is left for the owner(s).
The core accounting equation is Assets = Liabilities + Equity. This ...
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I find it very strange that a Wave Balance Sheet does not include a total for the sum of Liabilities + Equity (In this case, they add up to $338,969.43, same $ as the assets). This report therefore does not look like it 'balances", like every other balance sheet I've ever seen. Are there plans to update that? Also, it would be useful if I could print comparative numbers from a different date (last year, or last month, etc). We can do that with the Wave P&L, but not the Balance Sheet .Thanks!
Hey @John_M ! The language may be a bit different than what you might be familiar with but I can assure you that the balance sheet calculations are correct. Essentially our balance sheet is designed this way for a more approachable format for our target audience. We understand that the Assets = Liabilities + Equity equation may appear as an oversimplification for our more advanced users.