The expanded accounting equation builds upon the basic accounting equation's use of assets, liabilities and equity by ...

A basic tenet of double-entry book-keeping is that total assets (what a business owns) must equal liabilities plus equity (how the assets are financed). In other words, the balance sheet must balance.

The difference between the available cash at the beginning of an accounting period ... keeping is that total assets (what a business owns) must equal liabilities plus equity (how the assets ...