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BALANCE SHEET
Statement showing a company’s financial position at the end of an accounting period.
It presents the entity’s assets, liabilities and stockholders’ equity. It is classified into
major groupings of assets and liabilities in order to facilitate analysis.
The accounting equation for the balance sheet is: Assets=Liabilities+Stockholders’
Equity
The balance sheet is useful to financial statement users because it indicates the
resources the entity has and what it owes.
Annual balance sheet:
Closing balance sheet:
Consolidated balance sheet
Simplified balance sheet:

FINANCIAL STATEMENTS
Report containing financial information about an organization. The required financial
statements are balance sheet, income statement, and statement of changes in
financial position. They may be combined with a supplementary statement to depict
the financial status or performance of the organization (e.g. an inflation adjusted
financial statement)

Assets: any physical thing (tangible) or right (intangible) that has a money value is
an asset. Assets are customarily divided into groups for presentation on the balance
sheet. The two groups used most often are (1) current assets and (2) plant assets.

Current assets: cash and other assets that may reasonably be expected to be
realized in cash or sold or used up usually within a year or less, through the normal
operations of the business, are called current assets. In addition to cash, the current
assets usually owned by a service business are notes receivable and accounts
receivable, and supplies and other prepaid expenses.

INGLÉS – MSC. ANA MARÓIA GUERRERO

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MILLONES – IESTP “ÍLLIMO”
Cash is any medium of exchange that a bank will accept at face value. It includes
bank deposits, currency, checks, bank drafts, and money orders. Notes receivable
are claims against debtors evidenced by a written promise to pay an amount certain
in money at a definite time to the order of a specified person or to bearer. Accounts
receivable are also claims against debtors, but are less formal than notes. They arise
from sales of services or merchandise on account. Prepaid expenses include
supplies on hand and advance payments of expenses such as insurance and
property taxes.

Plant assets: tangible assets used in the business that are of a permanent or
relatively fixed nature are called plant assets or fixed assets. Plant assets include
equipment, machinery, buildings, and land. With the exception of land, such assets
gradually wear out or otherwise lose their usefulness with the passage of time. They
are said to depreciate.

Expense. Costs that have been consumed in the process of producing revenue are expired costs or
expenses. The number of expense categories and individual expense accounts maintained in the
ledger varies with the nature and the size of an enterprise.

Capital. Capital is the term applied to the owner’s equity in the business. It is a residual claim against
the assets of the business after the total liabilities are deducted. Other commonly used terms for
capital are owner’s equity and net worth, and stockholders’ equity, shareholders’ equity, and
shareholders’ investment in referring to a corporation

1. What is the most important in reading BALANCE SHEET?

The most important thing is that it presents the entity's assets, liabilities and
stockholders' equity, and it is also classified into large groups of assets and
liabilities to facilitate analysis.

2. Make a conceptual map about FINANCIAL STATEMENTS

3. Extract ten key words of readings about accounting

INGLÉS – MSC. ANA MARÓIA GUERRERO

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MILLONES – IESTP “ÍLLIMO”
BALANCE GENERAL
Declaración que muestra la posición financiera de una empresa al final de un período
contable. Presenta los activos, pasivos y capital contable de la entidad. Se clasifica
en grandes grupos de activos y pasivos para facilitar el análisis.
La ecuación contable para el balance general es: Activos = Pasivos + Capital
contable
El balance general es útil para los usuarios de los estados financieros porque indica
los recursos que tiene la entidad y lo que debe.
Balance anual:
Balance de cierre:
Balance general consolidado
Balance simplificado:
ESTADOS FINANCIEROS
Informe que contiene información financiera sobre una organización. Los estados
financieros requeridos son el balance general, el estado de resultados y el estado de
cambios en la posición financiera. Se pueden combinar con una declaración
complementaria para representar el estado financiero o el desempeño de la
organización (por ejemplo, una declaración financiera ajustada a la inflación).
Activos: cualquier cosa física (tangible) o derecho (intangible) que tenga un valor
monetario es un activo. Los activos se dividen habitualmente en grupos para su
presentación en el balance. Los dos grupos utilizados con mayor frecuencia son (1)
activos Corrientes y (2) activos de planta.
Activos corrientes: el efectivo y otros activos que se puede esperar
razonablemente que se realicen en efectivo o se vendan o se usen por lo general
dentro de un año o menos, a través de las operaciones normales de la empresa, se
denominan activos corrientes. Además del efectivo, los activos Corrientes que
generalmente son propiedad de una empresa de servicios son notas por cobrar y
cuentas por cobrar, suministros y otros gastos prepagos.

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MILLONES – IESTP “ÍLLIMO”
El efectivo es cualquier medio de cambio que un banco aceptará a su valor nominal.
Incluye depósitos bancarios, divisas, cheques, giros bancarios y giros postales. Las
notas por cobrar son reclamaciones contra deudores evidenciadas por una promesa
escrita de pagar una cantidad determinada en dinero en un momento definido a la
orden de una persona específica o al portador. Las cuentas por cobrar también son
reclamaciones contra deudores, pero son menos formales que los pagarés. Surgen
de la venta de servicios o mercancías a cuenta. Los gastos prepagos incluyen
suministros disponibles y pagos anticipados de gastos como seguros e impuestos a
la propiedad.
Activos de planta: los activos tangibles utilizados en el negocio que son de
naturaleza permanente o relativamente fija se denominan activos de planta o activos
fijos. Los activos de la planta incluyen equipos, maquinaria, edificios y terrenos. Con
la excepción de la tierra, dichos activos se desgastan gradualmente o pierden su
utilidad con el paso del tiempo. Se dice que se deprecian.
Gastos. Los costos que se han consumido en el proceso de producir ingresos son costos o gastos
vencidos. El número de categorías de gastos y cuentas de gastos individuales mantenidas en el libro
mayor varía con la naturaleza y el tamaño de una empresa.

Capital. Capital es el término aplicado a la equidad del propietario en el negocio. Es un reclamo

residual contra los activos del negocio después de que se deducen los pasivos totales. Otros términos
comúnmente utilizados para el capital son el patrimonio neto y el patrimonio neto del propietario, y
el capital contable, el patrimonio neto y la inversión de los accionistas al referirse a una corporación.

1. ¿Qué es lo más importante en la lectura del BALANCE GENERAL?

2. Haga un mapa conceptual sobre los ESTADOS FINANCIEROS
3. Extraiga diez palabras clave de lecturas sobre contabilidad.

INGLÉS – MSC. ANA MARÓIA GUERRERO

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MILLONES – IESTP “ÍLLIMO”
 ESTADOS FINANCIEROS ES Report that contains
financial information
about an organization.

BALANCE SHEET INCOME STATEMENT STATEMENT OF CHANGES

Known as It is a financial
Known as balance Docuemnt in which background satement that shows
It is a documet or
sheet or statement all income movement status what the company
financial report Also known
of financial position expenses ,as well or source status has done with the
that shows in as a profit as the profit or loss and resource usage money it has earned
detail the assets and loss that is generated during a specific
,liabilities,and net statement in a company period of time
worth that a
during a certain likewise ,it informs of
company has at
period of time are the way in wich said
any given time
shown in detail money was
and in detail obtained,being able
to analyze in detail
the profits of the
bussiness and how
much cash is available
,either nin cash or in
a bank.
1. Extract ten key words of readings about accounting

 Assets
 Balance sheet
 Liabilities
 Financial information
 Stockholders’ equity
 Accounts receivable
 Tangible assets
 Intangible
 Revenue
 Fixed assets