Nearly every financial crisis can be traced back to a foundation of weak balance sheets that cracked under the pressure of excessive debt. Companies, households, and governments load up on debt during ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Financial statements are documents used to communicate to end-users a business's financial circumstances in an efficient and effective manner. Four basic financial statements exist: the balance sheet, ...

Small business owners spend considerable time soliciting customers and managing employees. But the long-term objective is to make a profit and grow the company. A major responsibility of the manager ...

Previously, we discussed some ways to improve cash flow within a company. This evolved from a question that was posed by contractors on a message board regarding the difference between profits and ...

A balance sheet displays what a company owns, what it owes, how it's financed, and its shareholders' equity at a particular point in time. An income statement displays the company's revenues and ...

Discover how share premium accounts are positioned on balance sheets and their strategic financial uses, including issuing bonus shares and expense coverage.

Now let's take a closer look to see how strong this balance sheet is by analyzing it with some common balance sheet ratios. There are about a half-dozen different ratios we can use to determine a ...

What does it mean when a company has a "fortress-like" balance sheet? Photo: Frank Kovalchek via Wikimedia Commons. Nearly every financial crisis can be traced back to a foundation of weak balance ...