Understanding Opening Balance Equity: A Guide for Financial Professionals
Main Purposes of Financial Statements (Explained) In other words, it doesn’t encompass anything stemming from separate transactions, as outlined in GAAP. It outlines the company’s initial financial standing, including all resources (assets) owned, obligations (liabilities) owed, and the owner’s investment (capital) in the business. It provides the starting point from which the company can track … Read more