Equity

Equity Vs Liabilities: 7 Difference

There are three concrete parts to the Balance sheet. The parts comprise of assets, liabilities, and Equity. These three parts are also based on the accounting equation is: Shareholder’s equity= Assets – Liabilities In simple words, the primary difference is that equity is the investors’ resources in the company and liabilities are the outsiders’ resources …

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Equity Vs. Debt: What are the Main Difference (6 Pioints Included)

When it comes to the sources of financing, companies or businesses have two primary options. These are equity and debt. Both of these types of finance have their advantages or disadvantages. However, companies use a combination of both to reap the maximum possible benefits from them. That is why a company’s capital structure will include …

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Accounting for equity reserve: Types of Equity Reserves and Their Accounting Treatment

Meaning of Equity Reserves Reserves refer to a component of shareholders’ equity, the amount kept apart for estimated claims or creation of contra asset accounts for bad debts. Reserves always have a credit balance. The reserve which belongs to equity shareholders or where it is marked for any purpose is equity reserves. The reserves appear …

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