Question

Balance Sheet is a statement of ________.

• A. Assets
• B. Liabilities
• C. Capital
• D. All of the above

Answer 1

Answer: (D)

All of the above

Balance sheet is statement prepared for every financial year to know the state of affairs of the company on a particular date. Balance sheet has two major components i.e. assets and liabilities.

Assets side of the balance sheet is having current assets, fixed assets. On the side, i.e. liability side will have capital and long term & short term liabilities.