Junior Accountant Interview Question:

Explain me what are the important terms used in balance sheet?

Submitted by: Muhammad

Assets
☛ Current assets and fixed assets
☛ Tangible assets and Intangible assets

Equity is a claim which can be enforced against the assets of the firm in the court. Thus equity refers to a claim held by
☛ An owner only,
☛ A creditor only,
☛ An owner and the creditor both.

Liability
☛ Current Liability
☛ Long term Liability or fixed Liabilities
☛ Contingent Liabilities
Submitted by: Muhammad