Eindbalans

Eindbalans is the closing balance sheet prepared at the end of an accounting period. It records the financial position as of a specific date after all adjustments and closing entries have been made. The eindbalans shows what the organization owns (assets) and what it owes and the owners’ stake (liabilities and equity).

In the eindbalans, assets (activa) are listed on one side, usually divided into current assets (short-term, such as cash, receivables, inventory) and non-current assets (long-term, such as property, equipment). On the other side are liabilities (passiva) and equity (eigen vermogen). Liabilities include current and non-current borrowings and payables, while equity reflects the residual interest of the owners after all liabilities are settled.

Preparation of the eindbalans involves end-of-period adjustments, such as depreciation of fixed assets, accruals, prepayments, and provisions. After these adjustments, the trial balance is updated and the eindbalans is drawn up. It serves as the official snapshot of the company’s financial position and forms part of the jaarrekening (annual accounts) used for reporting and decision-making.

Uses and audience for the eindbalans include owners, creditors, investors, and tax or regulatory authorities. It helps assess solvency, liquidity, and capital structure, and it allows comparison with previous periods to analyze trends.

The eindbalans is distinct from an interim balance and from the income statement (winst- en verliesrekening). While the latter shows performance over the period, the eindbalans shows the financial position at the end of the period and supports the preparation of the annual accounts.