Glossary:Financial accounts and balance sheets

The financial account is the final account in the sequence of accounts that record transactions, for example the transactions during a quarter or a year. The balancing item of the financial account, the net acquisitions of financial assets less net incurrence of liabilities, is net lending (+) or net borrowing (-).

Financial balance sheets are statements of the value of assets and liabilities at a particular point in time, for example at the beginning or end of a quarter or a year. The balance sheet shows, on its left side, financial assets and, on its right side, liabilities; the balancing item of the financial balance sheet is financial net worth. The changes from previous balance sheets allow the measurement of changes in wealth effects.


Related concepts

Statistical data