First the legal structure of the balance sheet is explained; then the different balance sheet items are explained in detail focusing on recognition, measurement and presentation.
For proprietorships and partnerships, the Commercial Code prescribes only a very basic structure (§ 247):
Tab. 3.1: Basic structure of a balance sheet (§ 247).
|Deferred expenses||Deferred income|
Further detailing to fulfil the GAAP, in particular the principle of clarity and transparency, is up to the judgement of the reporting unit. Once a structure has been decided upon, it should be kept constant (principle ...