The presence of reliable stores of value contributes to trust in financial systems and institutions. In those instances, other stores of value, such as gold, silver, real estate, and fine art, have proved their worth over time. The price of gold, in particular, will often skyrocket during times of national peril […]
Store of Value Definition, Explained, Examples, vs Unit Of Account
Exposure to potential loss could extend to your cryptocurrency investment. Money- or fiat currency – is typically considered a store of value since its long-term value is crucial to a stable economy. If a nation’s currency loses value quickly, it’s a sign that they are suffering an economic crisis. There […]
What Is the Accounting Equation? Examples & Balance Sheet
Your bank account, company vehicles, office equipment, and owned property are all examples of assets. We know that every business holds some properties known as assets. The claims to the assets owned by a business entity are primarily divided into two types – the claims of creditors and the claims […]
Balance Sheet Formula Assets = Liabilities + Equity
Below, we’ll explore what exactly goes on a balance sheet. Balance sheets are typically prepared and distributed monthly or quarterly depending on the governing laws and company policies. Additionally, the balance sheet may be prepared according to GAAP or IFRS standards based on the region in which the company is […]