Off-balance sheet accounting tracks assets or debts without including them in the main accounting system. It is commonly used by financial institutions and brokerage firms, but can also be used for illicit accounting practices. On-balance sheet assets and debts are standard transactions that the company owns and is directly responsible for. An off-balance sheet balance […]

Off-balance sheet accounting tracks assets or debts without including them in the main accounting system. On-balance sheet assets and liabilities are standard transactions that the company owns and is directly responsible for, while off-balance sheet transactions are for circumstances in which the company does not have direct ownership of the money. The biggest difference between […]