I. Calculation of Total Assets
The total assets of an enterprise include all tangible and intangible assets of the enterprise, such as cash, accounts receivable, inventory, fixed assets (such as plant and equipment) and intangible assets (such as patents and trademarks). In the balance sheet, these asset items will be listed on the left side of the table. When calculating the total assets, you need to add up the amounts of all these assets.
Second, calculate the total liabilities.
The total liabilities of an enterprise include various debts and liabilities owed by the enterprise, such as accounts payable, short-term loans, long-term loans, deferred income tax, etc. In the balance sheet, these liabilities will be listed on the right side of the table. When calculating the total liabilities, it is necessary to add up the amounts of all these liabilities.
Third, calculate the net assets
After getting the amount of total assets and total liabilities, the calculation of net assets becomes very simple. As long as the total liabilities are subtracted from the total assets, the result is net assets. If the calculation result is positive, it means that the assets of the enterprise are greater than the liabilities, and the owner owns the net value of the enterprise; If the result is negative, it means that the liabilities of the enterprise exceed the assets and the enterprise is insolvent.
To sum up:
The net assets in the balance sheet are obtained by calculating the difference between the total assets and total liabilities of the enterprise. Total assets are the sum of all assets of the enterprise, and total liabilities are the sum of all liabilities of the enterprise. Net assets represent the ownership value of the enterprise owner, and its positive value indicates that the assets of the enterprise exceed the liabilities, while its negative value indicates that the enterprise is insolvent.
Legal basis:
Company Law of the People's Republic of China
Article 3 provides that:
The company is an enterprise legal person, with independent legal person property and legal person property rights. The company is liable for its debts with all its property. Shareholders of a limited liability company shall be liable to the company to the extent of their subscribed capital contribution; Shareholders of a joint stock limited company shall be liable to the company to the extent of the shares subscribed by them.
This clause shows that the company, as an independent legal person, owns its own property and is liable for debts with all its property. The liability of shareholders is limited to the amount of capital contribution or subscription to the company, which indirectly reflects the position and role of shareholders' rights and interests (that is, net assets) in the company's financial structure.