Page 418 - Manual-of-Operation-Merged

CvSU MANUAL OF OPERATIONS
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1. Balance Sheet
A balance sheet shows the financial status of a project as
of a specific date. It is usually prepared at the end of any given
production period. It shows the different assets owned by the
project, whether it be its own equity or loan from financial
institutions. The total value of asters should be equal to the
sum of total liabilities and the total project’s equity. Included in
the total project’s equity are the retained earnings realized by
the project in its previous operations.

a. Assets- An asset is anything that a project owns like cash,
receivables, inventory of stocks, feeds and supplies, tools,
equipment and building.

b. Liabilities - is a financial obligation or a debt owed by a
project from financial institutions. Usually, a project resorts
to borrowing if it has no available cash to purchase the
inputs/supplies needed.

c. Project’s Equity - The project’s equity refers to all the
things owned and acquired by the project out of its retained
earnings during the period. Retained earnings refer to the net
income/profit that has accumulated during the previous
periods of project operation.

Name of the Project: _______________________
BALANCE SHEET
As of ________________

ASSETS AMOUNT (P) LIABILITIES AMOUNT (P)

ADD: PROJECT’S

EQUITY

Total Liabilities
TOTAL ASSETS and Projects
Equity

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