What is the correct order for the balance sheet?
A) Assets, owners' equity, liabilities
B) Owners' equity, financial position, assets
C) Liabilities, owners' equity, assets
D) Assets, liabilities, owners' equity
E) Owners' equity, assets, liabilities

Question

Quizplus · Accepted Answer

The correct order for the balance sheet is assets, liabilities, and owners' equity. This is because assets represent what the company owns, liabilities represent what the company owes to others, and owners' equity represents the amount that the stakeholders have invested in the company. This order is important because it helps to show how the company's assets are being used to pay off its liabilities, and how much equity is left over for the owners.

What Is the Correct Order for the Balance Sheet