What do people mean when they say “balance sheet”?

The balance sheet displays the company’s total assets, and how these assets are financed, through either debt or equity. It can also sometimes be referred to as a statement of net worth, or a statement of financial position. The balance sheet is based on the fundamental equation: Assets = Liabilities + Equity

Balance sheet is also known as a Statement of Financial Position, which lists the amounts for assets, liabilities, and equity at a point in time of a business. It sets out the financial position of a business at a particular point in time and also reports on the investing and financing activities of the business.