B

Glossary · PSX term

Balance sheet.

The balance sheet is a snapshot of what a company owns and owes at a point in time.

Definition

It lists assets on one side and liabilities plus shareholder equity on the other, and the two sides always balance. It reveals financial strength, debt levels, and the equity backing each share.

Worked example

If a company has Rs. 100 billion assets and Rs. 60 billion liabilities, equity is Rs. 40 billion on the balance sheet.

Related on PSX Clarity

Income statement

Cash flow statement

Debt-to-equity ratio

More glossary terms

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