Page 9 - Finances for Non-Finance People
P. 9
STATEMENT OF
FINANCIAL POSITION
(BALANCE SHEET)
Net Assets are the difference between total
assets and total liabilities. It represents the
portion of the assets that the organization
owns (not allocated for a liability).
It is the amount of money that would be left
over if all of the organization's debts were
paid off. Think of net assets as the
organization's equity or value.
Net assets fall into two categories: without
restriction and with restriction
Restrictions on net assets are created by the
donor.
Net assets will increase or decrease based
upon the results of the operations as reflected
on the statement of activities.
