From the course: Finance and Accounting Tips in Five Minutes or Less
Join today to access over 24,200 courses taught by industry experts.
Overview and limitations of the balance sheet
From the course: Finance and Accounting Tips in Five Minutes or Less
Overview and limitations of the balance sheet
- Now we've all heard big tech companies have more money than they know what to do with. Let's consider Microsoft. As of June 30th, 2023, Microsoft reported that they had over $111 billion in cash and short-term investments. $111 billion. - So where does that number come from? How do people know how much Microsoft has in cash and short-term investments? - That information, and so much more, is all out there waiting for those with an interest in reading Microsoft's balance sheet. - So let's start our journey through the land of accounting by beginning with the fundamental financial statement, the balance sheet. The balance sheet contains a listing of a company's assets, a company's liabilities, and a company's owner's equity. - [Red Shirt] Okay, so what is an asset? Assets are economic resources that are owned or controlled by a company as a result of past transactions. Common examples of assets include cash, accounts receivable, people owe the company money, inventory, items the…
Download courses and learn on the go
Watch courses on your mobile device without an internet connection. Download courses using your iOS or Android LinkedIn Learning app.