If a person write a check for $759 to make a payment on a loan, then the account balance would be changed as in the balance sheet of the person.
<h3>What is account balance?</h3>
An Account balance is limited as the amount of monetary system that is hold in a specific account in the bank account or in any another account.
From the given case, if a person make a payment of loan, then the account balance would be:
Assets = $36,767 ($37,526 – $759)
Liabilities = $12,086 ($12,845 -$759)
Equity = $32,500
Therefore, the balance of Equity remains unaffected by the payment of loan.
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Answer: Balance sheet
Explanation: In simple words, balance sheet refers to the statement which is prepared by an entity at the end of the financial year for depicting its assets, liabilities and equity in hand at that particular point of time.
Balance sheet shows the net worth of an entity at the end of the year and can also be used to evaluate how much of the assets are funded with the capital and for how much any liability has been taken over.
Thus, from the above we can conclude that the correct answer is balance sheet.
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