Friday, 30 September 2011
Thursday, 29 September 2011
Wednesday, 28 September 2011
Tuesday, 27 September 2011
Monday, 26 September 2011
Sunday, 25 September 2011
Saturday, 24 September 2011
Friday, 23 September 2011
The government prints money when loans are made
It is the government not the banks which issue money when loans are made. The government replaces bank credit with government-guaranteed credit, which enables the banks to release the cash into the economy.
Thursday, 22 September 2011
Wednesday, 21 September 2011
Tuesday, 20 September 2011
Monday, 19 September 2011
Sunday, 18 September 2011
There is no form of government better than pr
Proportional representation is the best form of government.
It is impossible for bank loans to cause inflation if they are not printing money
It is not possible to cause inflation without printing money.
Saturday, 17 September 2011
Friday, 16 September 2011
Wednesday, 14 September 2011
Tuesday, 13 September 2011
Sunday, 11 September 2011
Saturday, 10 September 2011
Friday, 9 September 2011
Wednesday, 7 September 2011
Tuesday, 6 September 2011
Sunday, 4 September 2011
Saturday, 3 September 2011
Friday, 2 September 2011
Thursday, 1 September 2011
A balance sheet will not balance if the equity is not adjusted to reflect profit and loss
From Wikipedia (Balance sheet) 1st September 2011 ‘Another way to look at the same equation is that assets equals liabilities plus owner's equity. Looking at the equation in this way shows how assets were financed: either by borrowing money (liability) or by using the owner's money (owner's equity). Balance sheets are usually presented with assets in one section and liabilities and net worth in the other section with the two sections "balancing."’
The balance sheet will balance, assuming there has been some business activity which has resulted in either a profit or a loss, only if the ownership equity is adjusted accordingly. If the equity is left static then a profit to the company (an increase in assets which is not offset by an equivalent increase in liabilities) will result in a violation of the accounting equation. If the accounting equation is not to be violated then the equity must be adjusted accordingly... upwards in the case of a profit, so that it will no longer still reflect the original injection of investment.
The balance sheet will balance, assuming there has been some business activity which has resulted in either a profit or a loss, only if the ownership equity is adjusted accordingly. If the equity is left static then a profit to the company (an increase in assets which is not offset by an equivalent increase in liabilities) will result in a violation of the accounting equation. If the accounting equation is not to be violated then the equity must be adjusted accordingly... upwards in the case of a profit, so that it will no longer still reflect the original injection of investment.
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