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madswan79
Jul 14, 2012, 12:45 AM
What information is contained in the balance sheet? What are the limitations of the balance sheet? How can we overcome those limitations?

paraclete
Jul 14, 2012, 05:21 PM
What information is contained in the balance sheet? What are the limitations of the balance sheet? How can we overcome those limitations?

A basic understanding of accounting is needed before attempting such questions.

A balance sheet is a statement of financial position at a specific date, it doesn't address cash flows and profitability this is why it is accompanied by a profit and loss statement and a cash flow statement as well as detailed notes