Balance sheet - Revision history

181.143.92.106 at 20:15, 24 January 2021

2021-01-24T20:15:25Z

← Older revision		Revision as of 20:15, 24 January 2021
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−	This article ~~provide~~ a brief introduction to balance sheets.	+	This article provides a brief introduction to balance sheets.

	The balance sheet of any business, whether it is a company, a partnership or a sole trader, is simply a statement, or list, of assets and liabilities at a given date.		The balance sheet of any business, whether it is a company, a partnership or a sole trader, is simply a statement, or list, of assets and liabilities at a given date.

Designing Buildings at 09:51, 5 October 2020

2020-10-05T09:51:48Z

← Older revision		Revision as of 09:51, 5 October 2020
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	* [http://www.companieshouse.org.uk/ Companies House].		* [http://www.companieshouse.org.uk/ Companies House].

−	[[Category:Taxation]] [[Category:Cost_/_business_planning]]	+	[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Taxation]] [[Category:Cost_/_business_planning]]

Editor: Reverted edits by PaulCooper (talk) to last revision by Editor

2020-05-05T13:24:59Z

Reverted edits by PaulCooper (talk) to last revision by Editor

← Older revision		Revision as of 13:24, 5 May 2020
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	* Prepayments.		* Prepayments.
−	* ~~[https://payrollheaven.com/define/accrued-income/~~ Accrued income].	+	* Accrued income.
	* Accruals, etc.		* Accruals, etc.

	There are timing considerations to be taken into account when listing these items out. The Companies Acts require that liabilities are identified by reference to when they fall due to be paid, so that it can be seen if a business’s immediate payment obligations to creditors exceeds its short-term ability to find the cash to meet those obligations.		There are timing considerations to be taken into account when listing these items out. The Companies Acts require that liabilities are identified by reference to when they fall due to be paid, so that it can be seen if a business’s immediate payment obligations to creditors exceeds its short-term ability to find the cash to meet those obligations.

−	It is for this reason that balance sheets of entities who report to Companies House will show 'current assets' and 'current liabilities' and will also show whether current assets exceed current liabilities (good) or whether ~~[https://payrollheaven.com/define/current-liability/~~ current liabilities] exceed ~~[https://payrollheaven.com/define/current-asset/~~ current assets] (bad).	+	It is for this reason that balance sheets of entities who report to Companies House will show 'current assets' and 'current liabilities' and will also show whether current assets exceed current liabilities (good) or whether current liabilities exceed current assets (bad).

	In fact, the Companies Acts stipulate the broad formats in which accounts, including the Balance Sheet, must be presented. There are a variety of reporting options depending upon the nature and size of the business in question and guidance is available from [http://www.companieshouse.org.uk Companies House].		In fact, the Companies Acts stipulate the broad formats in which accounts, including the Balance Sheet, must be presented. There are a variety of reporting options depending upon the nature and size of the business in question and guidance is available from [http://www.companieshouse.org.uk Companies House].

−	Not only is it good business practice to have this ~~[https://payrollheaven.com/define/~~information~~/ information]~~ readily available, but it is also information that lenders or statutory bodies will be interested in as the balance sheet is effectively a record of a business’s life since birth; how much profit has been retained in the business over the years and how healthy it now looks. And because balance sheets are published once a year, usually to the same accounting date, it is possible to see a progression year by year in the net asset value of a business.	+	Not only is it good business practice to have this information readily available, but it is also information that lenders or statutory bodies will be interested in as the balance sheet is effectively a record of a business’s life since birth; how much profit has been retained in the business over the years and how healthy it now looks. And because balance sheets are published once a year, usually to the same accounting date, it is possible to see a progression year by year in the net asset value of a business.

−	Not all businesses are legally required to prepare a balance sheet. Unincorporated businesses that do not have to file accounts with Companies House do not need to do so. It is, nonetheless, good practice to ensure that a balance sheet is maintained and is up to date. Many businesses are wound up because they cannot pay their debts when they fall due (effectively this is the definition of insolvency), and this often arises because business owners have lost track of exactly what they owe, particularly to HMRC in the form of VAT, PAYE or ~~[https://payrollheaven.com/define/corporation-tax/~~ Corporation Tax].	+	Not all businesses are legally required to prepare a balance sheet. Unincorporated businesses that do not have to file accounts with Companies House do not need to do so. It is, nonetheless, good practice to ensure that a balance sheet is maintained and is up to date. Many businesses are wound up because they cannot pay their debts when they fall due (effectively this is the definition of insolvency), and this often arises because business owners have lost track of exactly what they owe, particularly to HMRC in the form of VAT, PAYE or Corporation Tax.

	In addition to the balance sheet itself, published accounts frequently contain 'Notes to the Balance Sheet' which, to the experienced practitioner, is where much of the essential detail which lies behind the bare numbers can be found.		In addition to the balance sheet itself, published accounts frequently contain 'Notes to the Balance Sheet' which, to the experienced practitioner, is where much of the essential detail which lies behind the bare numbers can be found.

PaulCooper at 09:14, 5 May 2020

2020-05-05T09:14:32Z

← Older revision		Revision as of 09:14, 5 May 2020
Line 22:		Line 22:

	* Prepayments.		* Prepayments.
−	* Accrued income.	+	* [https://payrollheaven.com/define/accrued-income/ Accrued income].
	* Accruals, etc.		* Accruals, etc.

	There are timing considerations to be taken into account when listing these items out. The Companies Acts require that liabilities are identified by reference to when they fall due to be paid, so that it can be seen if a business’s immediate payment obligations to creditors exceeds its short-term ability to find the cash to meet those obligations.		There are timing considerations to be taken into account when listing these items out. The Companies Acts require that liabilities are identified by reference to when they fall due to be paid, so that it can be seen if a business’s immediate payment obligations to creditors exceeds its short-term ability to find the cash to meet those obligations.

−	It is for this reason that balance sheets of entities who report to Companies House will show 'current assets' and 'current liabilities' and will also show whether current assets exceed current liabilities (good) or whether current liabilities exceed current assets (bad).	+	It is for this reason that balance sheets of entities who report to Companies House will show 'current assets' and 'current liabilities' and will also show whether current assets exceed current liabilities (good) or whether [https://payrollheaven.com/define/current-liability/ current liabilities] exceed [https://payrollheaven.com/define/current-asset/ current assets] (bad).

	In fact, the Companies Acts stipulate the broad formats in which accounts, including the Balance Sheet, must be presented. There are a variety of reporting options depending upon the nature and size of the business in question and guidance is available from [http://www.companieshouse.org.uk Companies House].		In fact, the Companies Acts stipulate the broad formats in which accounts, including the Balance Sheet, must be presented. There are a variety of reporting options depending upon the nature and size of the business in question and guidance is available from [http://www.companieshouse.org.uk Companies House].

−	Not only is it good business practice to have this information readily available, but it is also information that lenders or statutory bodies will be interested in as the balance sheet is effectively a record of a business’s life since birth; how much profit has been retained in the business over the years and how healthy it now looks. And because balance sheets are published once a year, usually to the same accounting date, it is possible to see a progression year by year in the net asset value of a business.	+	Not only is it good business practice to have this [https://payrollheaven.com/define/information/ information] readily available, but it is also information that lenders or statutory bodies will be interested in as the balance sheet is effectively a record of a business’s life since birth; how much profit has been retained in the business over the years and how healthy it now looks. And because balance sheets are published once a year, usually to the same accounting date, it is possible to see a progression year by year in the net asset value of a business.

−	Not all businesses are legally required to prepare a balance sheet. Unincorporated businesses that do not have to file accounts with Companies House do not need to do so. It is, nonetheless, good practice to ensure that a balance sheet is maintained and is up to date. Many businesses are wound up because they cannot pay their debts when they fall due (effectively this is the definition of insolvency), and this often arises because business owners have lost track of exactly what they owe, particularly to HMRC in the form of VAT, PAYE or Corporation Tax.	+	Not all businesses are legally required to prepare a balance sheet. Unincorporated businesses that do not have to file accounts with Companies House do not need to do so. It is, nonetheless, good practice to ensure that a balance sheet is maintained and is up to date. Many businesses are wound up because they cannot pay their debts when they fall due (effectively this is the definition of insolvency), and this often arises because business owners have lost track of exactly what they owe, particularly to HMRC in the form of VAT, PAYE or [https://payrollheaven.com/define/corporation-tax/ Corporation Tax].

	In addition to the balance sheet itself, published accounts frequently contain 'Notes to the Balance Sheet' which, to the experienced practitioner, is where much of the essential detail which lies behind the bare numbers can be found.		In addition to the balance sheet itself, published accounts frequently contain 'Notes to the Balance Sheet' which, to the experienced practitioner, is where much of the essential detail which lies behind the bare numbers can be found.

Editor at 16:53, 18 April 2019

2019-04-18T16:53:42Z

← Older revision		Revision as of 16:53, 18 April 2019
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	This article created by:--[[User:Martinc\|Martinc]] 13:12, 30 June 2014 (BST)		This article created by:--[[User:Martinc\|Martinc]] 13:12, 30 June 2014 (BST)

−	~~= Find out more =~~	+	= Related articles on Designing Buildings Wiki =
−		+
−	=== Related articles on Designing Buildings Wiki ===	+

	* Accruals.		* Accruals.
Line 51:		Line 49:
	* Construction supply chain payment charter.		* Construction supply chain payment charter.
	* Cost value reconciliation.		* Cost value reconciliation.
		+	* Demand chain.
	* Fair payment practices.		* Fair payment practices.
	* Financial Reporting Standard for Small Entities.		* Financial Reporting Standard for Small Entities.

Editor at 12:57, 31 January 2018

2018-01-31T12:57:37Z

← Older revision		Revision as of 12:57, 31 January 2018
Line 46:		Line 46:
	=== Related articles on Designing Buildings Wiki ===		=== Related articles on Designing Buildings Wiki ===

		+	* Accruals.
	* Cash flow.		* Cash flow.
	* Construction organisations and strategy.		* Construction organisations and strategy.

Editor at 12:55, 31 January 2018

2018-01-31T12:55:31Z

← Older revision		Revision as of 12:55, 31 January 2018
Line 23:		Line 23:
	* Prepayments.		* Prepayments.
	* Accrued income.		* Accrued income.
−	* Accruals etc.	+	* Accruals, etc.

	There are timing considerations to be taken into account when listing these items out. The Companies Acts require that liabilities are identified by reference to when they fall due to be paid, so that it can be seen if a business’s immediate payment obligations to creditors exceeds its short-term ability to find the cash to meet those obligations.		There are timing considerations to be taken into account when listing these items out. The Companies Acts require that liabilities are identified by reference to when they fall due to be paid, so that it can be seen if a business’s immediate payment obligations to creditors exceeds its short-term ability to find the cash to meet those obligations.
Line 33:		Line 33:
	Not only is it good business practice to have this information readily available, but it is also information that lenders or statutory bodies will be interested in as the balance sheet is effectively a record of a business’s life since birth; how much profit has been retained in the business over the years and how healthy it now looks. And because balance sheets are published once a year, usually to the same accounting date, it is possible to see a progression year by year in the net asset value of a business.		Not only is it good business practice to have this information readily available, but it is also information that lenders or statutory bodies will be interested in as the balance sheet is effectively a record of a business’s life since birth; how much profit has been retained in the business over the years and how healthy it now looks. And because balance sheets are published once a year, usually to the same accounting date, it is possible to see a progression year by year in the net asset value of a business.

−	Not all businesses are legally required to prepare a balance sheet. Unincorporated businesses that do not have to file accounts with Companies House do not need to do so. It is, nonetheless, good practice to ensure that a balance sheet is maintained and is up to date. Many businesses are wound up because they cannot pay their debts when they fall due (effectively this is the definition of insolvency) and this often arises because business owners have lost track of exactly what they owe, particularly to HMRC in the form of VAT, PAYE or Corporation Tax.	+	Not all businesses are legally required to prepare a balance sheet. Unincorporated businesses that do not have to file accounts with Companies House do not need to do so. It is, nonetheless, good practice to ensure that a balance sheet is maintained and is up to date. Many businesses are wound up because they cannot pay their debts when they fall due (effectively this is the definition of insolvency), and this often arises because business owners have lost track of exactly what they owe, particularly to HMRC in the form of VAT, PAYE or Corporation Tax.

	In addition to the balance sheet itself, published accounts frequently contain 'Notes to the Balance Sheet' which, to the experienced practitioner, is where much of the essential detail which lies behind the bare numbers can be found.		In addition to the balance sheet itself, published accounts frequently contain 'Notes to the Balance Sheet' which, to the experienced practitioner, is where much of the essential detail which lies behind the bare numbers can be found.
Line 46:		Line 46:
	=== Related articles on Designing Buildings Wiki ===		=== Related articles on Designing Buildings Wiki ===

−	* ~~Cashflow~~.	+	* Cash flow.
	* Construction organisations and strategy.		* Construction organisations and strategy.
	* Construction supply chain payment charter.		* Construction supply chain payment charter.
Line 53:		Line 53:
	* Financial Reporting Standard for Small Entities.		* Financial Reporting Standard for Small Entities.
	* Housing Grants, Construction and Regeneration Act.		* Housing Grants, Construction and Regeneration Act.
−	* Insolvency.
	* Insolvency.		* Insolvency.
	* Microeconomics.		* Microeconomics.

Editor at 10:16, 3 March 2016

2016-03-03T10:16:31Z

← Older revision		Revision as of 10:16, 3 March 2016
Line 47:		Line 47:

	* Cashflow.		* Cashflow.
		+	* Construction organisations and strategy.
	* Construction supply chain payment charter.		* Construction supply chain payment charter.
	* Cost value reconciliation.		* Cost value reconciliation.

Designing Buildings at 08:20, 20 February 2016

2016-02-20T08:20:01Z

← Older revision		Revision as of 08:20, 20 February 2016
Line 54:		Line 54:
	* Insolvency.		* Insolvency.
	* Insolvency.		* Insolvency.
		+	* Microeconomics.
	* Outturn cost.		* Outturn cost.
	* PAYE.		* PAYE.

Editor at 12:41, 19 February 2016

2016-02-19T12:41:47Z

← Older revision		Revision as of 12:41, 19 February 2016
Line 60:		Line 60:
	* Scheme for construction contracts.		* Scheme for construction contracts.
	* VAT.		* VAT.
		+	* Working capital.

	=== External references. ===		=== External references. ===