TS 7090

TS 7090 is the standard that defines the basic form of the balance sheet, providing a common structure for presenting financial position in accounting reports. Its subject is the core balance-sheet layout used to show an entity’s assets, liabilities, and equity in an organised way so the same concepts can be read consistently across reports.

The scope covers only the basic form of the balance sheet. The text also states that a separately prepared Balance Principles standard forms a whole with this standard, which indicates that the layout is intended to be read together with a broader conceptual framework for balance-sheet principles.

Where the basic balance sheet form fits in accounting

In general accounting practice, the balance sheet is one of the primary financial statements because it presents an entity’s financial position at a specific date. Assets represent resources controlled by the entity, liabilities represent external claims, and equity reflects the owners’ residual interest. The term “basic form” refers to the primary presentation structure for these categories; detailed recognition or measurement rules are typically addressed in separate principles documents.

• Covered subject: the basic presentation form of the balance sheet
• Related subject: a separately issued Balance Principles standard
• Purpose: to present financial position in a common and understandable structure
• Typical context: accounting reporting and financial statement presentation