Balance Sheet Sole Proprietorship Balance Sheet Income Statement Example

There are three common components to stockholders equity.

Balance sheet sole proprietorship balance sheet income statement example. Use the assets side to list your company s tangible and intangible assets as well as its cash. For example if the partnership agreement states you have a distributive share of 25 percent and the net income is 15 000 your distributive share is 3 750. Paid in capital treasury stock and retained earnings. Step 3 compile your sole proprietorship s balance sheet to express your personal investment in your company s equity or its overall value.

Balance sheet example moving on from our previous illustrations here is a sample balance sheet for strauss printing services a service type sole proprietorship business. What are the uses of the income statement templates. This template is only for use by sole proprietors and is merely a guideline and sole proprietors are not required to make use of the template. Working capital and liquidity 12.

Two other statements the statement of changes in owner s equity and the statement of cash flows are for a. Document which you can use to draw up your income statement and balance sheet. Of course the goal of every business on the market is to make profit but there must be a mechanism that helps a business to determine whether it is making profits or otherwise. The balance sheet and the income statement are two of the three major financial statements that small businesses prepare to report on their financial performance along with the cash flow statement.

The primary financial statements prepared for a sole proprietorship are the income statement and the balance sheet. Besides the profit and loss page you also get a comparative balance sheet additional ratio and simple ratio. P a sole proprietorship in the service business can have a professional looking balance sheet by using this form. Accounts receivable and bad debts expense 17.

Zimsec o level principles of accounts notes. These topics will show you the connection between financial statements and offer a sample balance sheet and income statement for small business. Iii schedules and notes forming part of balance sheet and income statement to give detail of various items shown in both the statements. Simple balance sheet example 1 from the following trial balance of s madondo extracted after one year s trading prepare a trading and profit and loss account for the year ended 31 december 20x6 and a balance sheet as at 31 december 20 6.