What are Assets and Liabilities in Balance Sheet

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What is Balance Sheet It is a Statement Showing Financial Position of a Business on a particular date It shows Liabilities Assets On Left Side On Right Side BALANCE SHEET Liabilities are Amount Payable by Business to Others Assets are Properties of Business What Are Assets? They are Properties owned by a Business Example Cash Bank FD Machine Computer Debtor (Amt payable by customer to us) Types of Assets CURRENT ASSETS NON-CURRENT ASSETS FICTITIOUS ASSETS Held for Short term up to 12 months Held for Long term More than 12 months Which we study latter on Different Current Assets Assets held for Resale Held for short Period Up to 12 Months Example Stock Example Cash Bank Short Term Loan Sundry Debtors Different Non-Current Assets Fixed Assets Those Assets which increase earning capacity Example Machine Goodwill Other Non-Current Assets Assets held for More than 12 Months Other than Fixed Assets Example Long term Loan or Advance Long term Investment Different Types Of Fixed Assets Tangible Assets which Can be seen or touched Example Machinery Building Furniture Intangible Assets which Cannot be seen or touched Example Patent Copyright Trademark What Are Liabilities? It means Amount payable by Business to Others or to the Proprietor Example Loan taken by Business Amt Due to Suppliers