companydata.dkBalance sheet total (balancesum)
The balance sheet total (balancesum) is the sum of all the company's assets — and equally the sum of equity and liabilities, since the balance sheet balances by definition. It is used as a measure of company size.
The balance sheet has two sides that are always equal: assets (what the company owns) and liabilities plus equity (how it is financed). The balance sheet total is the total of each side.
What is it used for?
The balance sheet total feeds into key figures such as the solvency ratio (equity as a percentage of the balance sheet total) and return on assets (operating profit as a percentage of the balance sheet total). It is also one of the three criteria that determine a company's reporting class — together with net revenue and number of employees.
Related terms
Equity (egenkapital)
Equity (egenkapital) is the difference between a company's assets and its liabilities — the owners' share of the company. It typically consists of share capital, retained earnings, and any reserves.
Solvency ratio (soliditetsgrad)
The solvency ratio (soliditetsgrad) shows how large a share of a company's assets is financed with equity. It is calculated as equity divided by the balance sheet total, multiplied by 100.
Fixed assets (anlægsaktiver)
Fixed assets (anlægsaktiver) are assets intended for lasting use in the business — e.g. property, machinery, goodwill, software, and equity stakes in other companies. Their counterpart is current assets.
Current assets (omsætningsaktiver)
Current assets (omsætningsaktiver) are assets not intended for lasting use, expected to be converted to cash within a short period — typically inventory, trade receivables, and cash.