Balance sheet
Every line from a schedule, and the check.
By Surojit Chakraverti, founder of L3VLUP and an investor running a long-short healthcare and technology equities strategy.
On this subject: balance sheet.Updated 30 September 2026
What it does
In a well-built model no forecast line on the balance sheet is calculated on the balance sheet. Cash comes from the cash flow statement, receivables and payables from the working-capital schedule, fixed assets from the roll-forward, debt from the debt schedule, equity from its roll-forward. The check at the foot is then a statement about the whole model.
Where it lives
The same schedule in each model that carries it, with the rows to open. Open a model in the browser, go to the sheet, and click the lines.
- Balance Sheet, rows 6–10: Cash, Accounts receivable, Inventory, Net PP&E…
- Balance Sheet, rows 13–16: Accounts payable, Revolver, Term loan, Total liabilities
- Balance Sheet, rows 19–24: Share capital, Retained earnings, Total equity, Total liabilities and equity…
What a reviewer looks for
- A plug in cash or equity to force the check to zero.
- A history that does not itself balance, so the forecast inherits the gap.
Learn it, then build it
Understand · Primer
Three-Statement Modelling
Build · Lab · ~8 min
Three-Statement Linker
Walk any event through all three statements in the right order, with the right signs, and prove the balance sheet balances rather than asserting it.
Read · Guide · 7 min
"Walk Me Through the Three Statements" — And Every Follow-Up
Read · Guide · 11 min
How to Review a Financial Model Before It Leaves Your Desk
Vocabulary: The Three Financial Statements.