Concept and structure of assets and liabilities
Assets are the resources of an enterprise that it uses for its activities. They can represent both material objects and various rights of claim, intellectual property, etc.
What assets have in common is that a company owns them and can use them to obtain economic benefit.
Liabilities are the sources through which an enterprise acquires assets. This could be owner funds, accumulated profits, various forms of accounts payable.
Actually, all liabilities can be considered accounts payable in the broad sense of the word. After all, both the owners’ investments and retained earnings can be returned under certain conditions (for example, upon payment of dividends, liquidation or withdrawal of one of the founders from the company’s capital).
Grouping of assets and liabilities is carried out by liquidity, sources of formation and timing. Let's consider the composition of assets and liabilities of the balance sheet in the traditional version recommended by the Ministry of Finance for financial statements (order of the Ministry of Finance of the Russian Federation dated July 2, 2010 No. 66n).
The assets and liabilities of the balance sheet (the table below) contains the main groups of company resources and their sources:
| Assets | Liabilities |
Fixed assets:
Current assets:
| Capital and reserves:
Long term duties:
Short-term liabilities:
|
Causes of errors
Practice has shown that situations where assets and liabilities do not converge can arise for the following reasons:
- In the current reporting period, no document such as the “month-end closing” report was generated.
- The “closing of the month” report was generated based on the results of the current reporting period, but there was no “unauthorized” balance left on the expense accounts. The “authorized” balance is the balance of account No. 20. It contains information from the work in progress report.
- For accounts No. 60 and No. 62 there is data with a minus sign. After correcting this error, you need to generate a “closing the month” report. Without this, proceed to the formation of the bay. there should be no balance.
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The relationship between assets and liabilities of the balance sheet
The connection between the two parts of the balance can be explained not only on the basis of economic theory, but also from the point of view of the laws of physics. Resources (assets) cannot appear “out of nothing,” so any of them must correspond to one or another source. In practice, an exact match, when a specific asset is equal to a liability, as a rule, does not exist. One group of assets can be formed at the expense of several categories of liabilities or vice versa.
For example, a fixed asset can be acquired partly through the contribution of the founders, and partly through a bank loan. Or the fixed assets and materials were purchased on deferred payment terms, i.e. two groups of assets were obtained at the expense of one category of liabilities - accounts payable.
But in general, equality of assets and liabilities of the balance sheet must be observed. Those. all assets must be covered by their sources - liabilities. If the balance sheet does not match the asset with the liability, then this indicates errors in accounting. The reasons why the assets and liabilities of the balance sheet do not converge can be very different:
- Late reflection of certain transactions on accounts.
- Incorrect closing of the reporting period (for example, incomplete write-off of production costs).
- Retained earnings (loss) for the period were not transferred to the appropriate liability section.
Example
The company received an advance payment from the buyer in the amount of 100 thousand rubles to its bank account. If the amount of money received in the reporting period is reflected only in the asset (item “Cash”), then a situation will arise in which the asset and liability do not converge. In order to correct the situation, you need to add the received amount (100 thousand rubles) to the liability (item “Accounts payable”).
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| veronika.liza |
| Hello!!! Dear accountants, I really need your help... Don’t judge strictly, I’ve just started studying... the BB doesn’t add up, please help me... Asset: Basic assets 560.100 Depreciation of fixed assets 1700 Work in progress 1000 Finished products 16,000 Goods shipped 47,000 Inventory 3300 Debt of other debtors 710 Debt of accountable persons 600 Cash in hand 600 Cash balance in the current account 18,700 Total: 661,710 Liabilities: Authorized fund 300,000 Reserve fund 3,000 Additional fund 3,000 Retained earnings 48,890 Targeted financing 16,100 Future income 13,500 Long-term loans 13,600 Short-term loans 17,500 Short-term bank loans 68,100 Debt to suppliers 101,500 Staff wages 30,500 Budget debt 31,500 Debt to social insurance authorities 11.6 00 Debt of the founders 900 Reserves for upcoming expenses 420 Total: 660.110 I would be very grateful for your help ... |
| I want to draw the moderator's attention to this message because: Notification is being sent... |
| Tatiana Gaenkova [email protected] Belarus, Minsk Wrote 17697 messages Write a private message Reputation: 1901 Group: Moderators | #2[432031] November 13, 2011, 15:23 |
Notification is being sent...
I’m rarely on the forum, so I can’t advise everyone in private messages. Sorry.| Olga Nikolaevna [email hidden] Belarus, Grodno Wrote 13708 messages Write a private message Reputation: 3156 | #3[432035] November 13, 2011, 15:45 |
they didn’t find the amount, but they saw CLEARLY taken with the sign + Kt of the account “Depreciation of fixed assets” 1700 thousand rubles... veronika.liza, you apparently did not take into account that in the ASSET balance there are debit amounts (and if the Dt of the account “Major assets" is 560,100 thousand rubles, and the CT account "Depreciation of basic assets" is 1,700 thousand rubles, then you need to count 560,100-1,700. But, besides this, there is still some error = 100 thousand rubles. Check again times your numbers! Write all the accounts and their balances on the 1st day - Dt and Kt, the amounts MUST be equal. If not, “go back” to the date where such a balance will be, and look for the error THERE. (Make a checkerboard, if at the beginning month there is a balance, but at the end there is no balance, then RE-CHECK this particular month). Good luck to you! I want to draw the attention of the moderator to this message, because:
Notification is being sent...
| Tatiana Gaenkova [email protected] Belarus, Minsk Wrote 17697 messages Write a private message Reputation: 1901 Group: Moderators | #4[432037] November 13, 2011, 16:02 |
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I’m rarely on the forum, so I can’t advise everyone in private messages. Sorry.| Olga Nikolaevna [email hidden] Belarus, Grodno Wrote 13708 messages Write a private message Reputation: 3156 | #5[432041] November 13, 2011, 16:08 |
I want to draw the moderator's attention to this message because:Quote:
Write all accounts and their balances on the 1st day - Dt and Kt, the amounts MUST be equal.
If not, “go back” to the date where such a balance will be, and look for the error THERE.
(Make a checkerboard, if at the beginning of the month there is a balance, but at the end there is no balance, then RECHECK this particular month).
Notification is being sent...
| veronika.liza [email hidden] Belarus, Mogilev Wrote 4 messages Write a private message Reputation: | #6[432043] November 13, 2011, 16:12 |
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| Tatiana Gaenkova [email protected] Belarus, Minsk Wrote 17697 messages Write a private message Reputation: 1901 Group: Moderators | #7[432044] November 13, 2011, 16:31 |
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I’m rarely on the forum, so I can’t advise everyone in private messages. Sorry.| veronika.liza [email hidden] Belarus, Mogilev Wrote 4 messages Write a private message Reputation: | #8[432045] November 13, 2011, 16:34 |
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| Olga Nikolaevna [email hidden] Belarus, Grodno Wrote 13708 messages Write a private message Reputation: 3156 | #9[432046] November 13, 2011, 16:40 |
*10 to the second power, we find that
the error is in the rearrangement of numbers, the difference between which is 2 and those in third and fourth place from the end.
Let's check which number fits these criteria?
Quote:
Deferred income 13,500, Short-term loans 17,500
Judging by the fact that there cannot be an error in the ACTIVE (there is no suitable number), then the LIABILITY must decrease
and therefore the option 13500 instead of 15300 disappears, and the only option remains: recording
Quote:
Short-term loans 17,500
must be
Quote:
Short-term loans 15700
. Shall we check? The asset became (taking into account the minus in depreciation, remember?) 646310+12000=658310 and the liability 660110-17500+15700=658310. The error has been found and the balance has been restored. Hooray!
I want to draw the moderator's attention to this message because:Notification is being sent...
| Olga Nikolaevna [email hidden] Belarus, Grodno Wrote 13708 messages Write a private message Reputation: 3156 | #10[432048] November 13, 2011, 16:46 |
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Analysis of assets and liabilities of the balance sheet
Analysis of balance sheet data is carried out in absolute and relative terms.
When studying absolute figures, balance sheet figures are compared with corresponding data for previous periods. The structure of assets and liabilities and its changes in dynamics are analyzed.
Relative indicators represent various financial ratios - indicators of profitability, liquidity, financial stability, turnover, etc. Some of them are calculated based only on balance sheet data, others require information from other forms of reporting. For example, profitability and turnover also require financial performance report data.
Relative indicators are considered in dynamics and compared with standard values. Their analysis allows us to draw a conclusion about the financial position of the enterprise and the efficiency of its work.
Principles of accounting formation. balance
Buh. The balance sheet is a tabular reflection of the company's performance as of a certain date. It consists of two parts - assets and liabilities. They must be equal. The asset is equal to the liability of the balance sheet because the double entry principle is used in the accounting accounts.
The main signs of booze. balance sheet are:
- This is a summary report for the whole year;
- All entries must be made as a debit to one account and a credit to another;
- Information from the final reports is entered into it line by line. The result should be equality of two parts - active and passive.
