Project 2

1. Project 2

1.10. Training Room Summary

Project 2: Financial Statements

A finger pointing to the word Balance.

Training Room Summary

This training room reviewed the format of the balance sheet financial statement, in which you calculated the capital at the end of the fiscal period. The important thing to remember is to always calculate capital, never just copy it from the worksheet. If you copy the capital total from the worksheet, your balance sheet will not balance, or the left side will not equal the right side. The accounting equation must always be in balance.

Do you remember what the accounting equation is?

Check your answer.

ASSETS = LIABILITIES + OWNER’S EQUITY

Continue on to the next training room, where you will complete the last financial statement to be completed in this project, a statement of owner’s equity. This statement will detail the changes in owner’s equity from the beginning of the fiscal period.