Statement of Financial Position

A Statement of Financial Position, also known as a balance sheet, is a financial snapshot of an individual or organization at a specific point in time. It lists what you own (assets), what you owe (liabilities), and your net worth (equity). Assets include cash, property, and investments, while liabilities encompass debts and obligations. The difference between total assets and total liabilities shows your financial health. This statement helps assess stability and informs decisions about spending, investing, and managing finances effectively.