UNIT 2: HOW DO YOU DO ACCOUNTING ANYWAY? Activity 3: Accounting Basics 102 1. What does the balance sheet measure? 2. What are the three sections in the balance sheet? 3. The assets section equals what other section(s) of the balance sheet? 4. All balance sheets are based on what equation? 5. In three words, state what information is contained in the heading of a balance sheet. 6. What order are assets listed in? 7. Which account is usually shown following Cash under Assets? 8. What order are liabilities listed in? 9. The balance sheet is thought of as being a snapshot of the business? Explain this statement. 10. Assets and liabilities can be thought of as things that can be touched or see. For example, automobiles are physical things you can touch, or you can see the signed bank loan at the bank. Equity is not like this. Explain