The Balance Sheet Test – Do you owe more than you are owed?
1. Does your balance sheet have brackets round the last figure? ie is it a negative figure?
2. Does it have a figure for stock that is too high?
3. Would you purchase your stock for the figure in your balance sheet?
4. Have you included everything in your balance sheet? You must include all current and contingent liabilities on your balance sheet. If not add it in.
Look at your balance sheet – is it still positive?
5. Do you have an overdrawn loan account?
Question 1 of 5