Question

The balance sheet indicates what an organization owns or controls and the various sources of the funds used to pay for these assets, such as bank debt and owners' equity.
a. True
b. False

Answer 1

Answer:

The correct answer is the option A: True.

Explanation:

To begin with, in the economics science field and the accounting theory the concept known as the balance sheet refers to a particular report that the managers have to do and understand in order to keep the control of everything inside the organization because it basically shows what the company posses, what it owns and to who it owns it with the characteristic of emphasizing it in a determine duration that could commonly be a year. Moreover it is separated in two main sides, the assets and financing, with this last one separeted in liabilities and owner's equity.