Introduction to the balance sheet

Financial Forecasting in Python

Victoria Clark

CGMA Financial Analyst

Types of financial statements

financial statements

Financial Forecasting in Python

Assets and liabilities

Asset = Economic Resource

  • Can be used to make money

Liability = Economic Obligation

  • Usually the obligation to pay something

financial statements

Financial Forecasting in Python
equity = assets - liabilities

Equity: portion of owner's interest in a property or business

# House example

house_cost = 100000

down_payment = 20000

mortgage = 80000

tot_equity = house_cost - mortgage

# Balance sheet
owners_equity = assets - liabilities

financial statements

Financial Forecasting in Python

financial statements

Financial Forecasting in Python

financial statements

Financial Forecasting in Python

financial statements

Financial Forecasting in Python

financial statements

Financial Forecasting in Python

Let's practice!

Financial Forecasting in Python

Preparing Video For Download...