A company's balance sheet gives a picture of how all the assets, liabilities, and equities of the company "balance out."
The basic accounting equation is Total Assets = Total Liabilities + Equity, and a Balance Sheet is going to detail these parts to show how everything adds up at the time of the report.
With things equal on both sides of the equation, the company's books are balanced, the same way someone might go back through the carbon copies of checks they've written and "balance the checkbook" to make sure all checks written have been accounted for.
The way publicly traded businesses are structured, any asset balance over liability obligations is considered Equity, and generally most of this is going to be held in outstanding shares of Common Stock and Preferred Stock. Most companies are going to publish Annual Reports that contain this information, and they'll also file annually and quarterly with the SEC.
A balance sheet can be used to determine things like debt-to-equity ratio and acid-test ratio to get a picture of how healthy the company is, and whether it has the liquidity to pay its debts in a timely manner. Along with income statements and statements of cash flow, the balance sheet can be used for fundamental analysis to determine whether the company represents value when compared to peers in its industry.
Hedge funds can require initial investments that are quite large. This may be somewhere between $250,000 to $10,000,000
These and other considerations make up what is known as a company’s dividend policy. Companies may have a different...
When a lending institution offers a Bank Guarantee, they are reducing the risk by guaranteeing payment to the seller
The federal funds rate is the overnight rate at which commercial lenders lend excess reserves to other institutions
Account managers are the point of contact and liaison between a business and its clients
Workers who earn income in foreign countries may be eligible to take deductions for the amount of taxes paid
Traders often look for 'harmony' in the movements of the On-Balance Volume (OBV) and a security's price
Successful asset allocation will cater to the risk tolerance and goals based on past performances while seeking gains
Adaptive Price Zone is a volatility-based trading indicator. Similar to traditional Bollinger Bands
A breakpoint generally refers to a level of investment at which the fee structure changes