Balance sheet – within the area of Corporate Law, this legal term details the precise, full and official report, which details the financial standing of a local corporate body (a company). In many countries balance sheets are public and available for review by third parties, being a synonym of “financial report” or “annual tax return”. Usually, balance sheets are published in the related Companies House, where files of corporate entities are kept. If a company wants to acquire new funds from shareholders, it has to present good financial standing.
Example: “The company informs its shareholders that it has published its annual balance sheet for the financial 2016 year”.