The vertical format is also known as the report format. This presentation starts with assets and after that, equity & liabilities are listed. The format is categorized into sections th… See more

Horizontal format lists all liabilities on the left-hand side and all assets on the right-hand side of the balance sheet. It is also called a T-shaped Balance sheet. In a horizontal f… See more

The balance sheet is the most important source of information about a company’s financial health. By analyzing the components of the balance sheet you can; 1. Understa… See more

Groupingrefers to putting similar items with similar qualities together and showing them under a common head inside financial statements. For example, all the debtors of an organis… See more