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In a company, partnership, or sole proprietorship venture, its financial statement shows the financial well being or condition of the company. A balance sheet constitutes 3 basic aspects: assets, liabilities, and equity. Needless to say, for a company to be profitable, the liabilities need to be lesser than the assets. The difference in amount shows the 'net worth' of the company. If you are new to such sheets and wondering how it is done, you can search the internet for many sheet examples. A typical company statement of financial position presents assets and liabilities in 2 different sections and the total should always balance. If the sheet does not show the same amount in both assets and liabilities, it has to be redrawn.

In earlier times, accounting was done manually. With the coming of computers and increased technological advancement, accounting is slowly transferring from manual to mechanical dependence. It saves a lot of time. Earlier, hours were spent on drawing the basic design of sheets and other financial instruments. But now, you have access to balance sheet templates, which have readymade categories and spaces for computing. Now, one just has to enter the amounts manually and all other things are done mechanically.

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