Can someone please help me with accounting?

Question

i am trying to find the definition for the basic accounting formula. I have been looking in my chapters and can not find it or I am just missing it. Thanks.

Answer 1

The most basic accounting equation (or basic accounting equation) is the following. The accounting equation for a sole proprietorship is:

Assets = Liabilities + Owner’s Equity

The accounting equation for a corporation is:

Assets = Liabilities + Stockholders’ Equity

You can read more on this at the link below.

Answer 2

Owner's Equity = Assets - Liabilities

Your Net Worth = What you own - What you owe