When a company is healthy

Managing a company is not an easy task and even less in times of economic difficulties. That is why accounting requires considerable dedication to ensure that the company is always healthy and its accounts are positive. To achieve this, a strategic plan must be followed and the necessary measures taken. So that you do not have doubts, in we explain you when a company is healthy.

one

A company is healthy when its assets are greater than its current liabilities, that is, that the goods, rights and resources outweigh the debts and obligations.

In case you have doubts about the active and passive accounting terms, we recommend you consult our article What is the asset and the liability in accounting .

two

We can say then, that the patrimonial net should be as large as possible :

Net Worth = Positive Mass (Assets + Rights) - Negative Mass (Obligations)

3

In the event that the asset of the company is equal to the current liability, it means that it owes everything it has and, thus, the equity net is zero.

4

On the other hand, when the assets are less than the assets of the organization, it is due more than what is available and the company is in bankruptcy.

5

To control the income and debts of an organization, it is necessary to carry out an accounting or economic balance. So it will be necessary to have the appropriate knowledge or request professional help. For this, it will be very useful to have an online manager with professionals who can make accounting much easier.