Holden Smith
New member
Assets is what I have
Equity is what I (will) have after all the debts and loans I have paid.
Liability is what I owe
So Asset = Equity + Liability
Equity can be equal to Asset, if and only if I do not owe anyone anything, in order words, I do not have a debt to pay
Equity is what I (will) have after all the debts and loans I have paid.
Liability is what I owe
So Asset = Equity + Liability
Equity can be equal to Asset, if and only if I do not owe anyone anything, in order words, I do not have a debt to pay