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there are two sides, debits and credits. in order for both sides to balance assets=liabilities+owners equity.
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∙ 12y ago
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Why capital is shown on liability side in the balance sheet?
because it needs to be repaid
What element of financial statements interest payable belong?
Interest payable is liability to be cleared in future that's why shown in liability side of balance sheet.
Your capital is your major asset and so should be shownas an asset on the balance sheet?
It is the basic concept of accounting that business is a separate entity from it's owner. So when owner invest capital in business its now the liability of the business to return back that amount of capital to owner of business at the time of liquidation of the company that's why it is not asset but liability of the company and shown under liability side.
On a balance sheet the accounts pauable and salarys payable would fall under the catergory of?
Accounts payable and salaries payable both are part of current liability of balance sheet and shown there at liability side.
Is unearned revenue an asset or liablility?
Unearned revenue is liability until it is earned and shown under liability side of balance sheet.
Why capital is shown on liability side in the balance sheet?
because it needs to be repaid
Why profit is at liability side?
Profit is part of owners equity that's why profit is shown as an addition to paid in capital or owners equity section and that's why it is also shown in liability side of balance sheet.
What element of financial statements interest payable belong?
Interest payable is liability to be cleared in future that's why shown in liability side of balance sheet.
Does Capital Stock go on Income Statement?
capital stock is liability for business and like all other liabilities it is also shown under liability section of balance sheet.
Your capital is your major asset and so should be shownas an asset on the balance sheet?
It is the basic concept of accounting that business is a separate entity from it's owner. So when owner invest capital in business its now the liability of the business to return back that amount of capital to owner of business at the time of liquidation of the company that's why it is not asset but liability of the company and shown under liability side.
How is a bond recorded on the balance sheet?
Bond is issued to raise capital which is liability for business and shown under liability section of balance sheet.
What side of journal entries do revenue and capital expenditures go?
revenue is shown under credit side of income statement while capital expenditures are shown in balance sheet and shown under asset side.
Where is Profit and Loss post in balance sheet?
In case of profit Liability side. In case of loss Asset side.
Is share asset or liability?
Share is treated as liability. It is not treated as asset. shares is called as share capital. capital is entered in the liabilities side of the balance sheet.
On a balance sheet the accounts pauable and salarys payable would fall under the catergory of?
Accounts payable and salaries payable both are part of current liability of balance sheet and shown there at liability side.
Where did loan interest payable go in the income statement?
Loan interest payable is not shown in income statement rather it is shown in liability side of balance sheet in current liability section.
Does dividends go on a balance sheet?
Dividends payable are part of balance sheet as liability and shown under liability side of business.
