What is Statement of Financial Position?
Statement of Financial Position, also known as the Balance Sheet, presents the financial position of an entity at a given date. It is comprised of the following three elements:Assets: Something a business owns or controls (e.g. cash, inventory, plant and machinery, etc)Liabilities: Something a business owes to someone (e.g. creditors, bank loans, etc)Equity: What the business owes to its owners. This represents the amount of capital that remains in the business after its assets are used to pay off its outstanding liabilities. Equity therefore represents the difference between the assets and liabilities.- See more at: http://accounting-simplified.com/financial/statements/types.html#sthash.Srxt3K9b.dpuf