What is an easy to understand book that teaches a beginner how to read a balance sheet? Something like a Balance Sheet for Dummies?

4 Answers 4


By a remarkable coincidence, there actually is a title "Balance Sheets for Dummies". I've not read this particular title, but the series has yet to disappoint. If you'd like a start, the 6 page A Beginner's Guide to the Balance Sheet is a decent article.


I found this yesterday which is really beginner friendly in the way it breaks each part down into layman terms. Really helped me a lot.

A Simple Guide to Understanding Your Company's Financial Statements by Illinois Small Business Development Center

Screenshot from inside:

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(if link ever goes dead ping me and I can share through PDFy or Google Drive)


I think Investopedia.com is one of the best resources for beginners.

Heres a good tutorial on balance sheets.


Nothing beats Security Analysis by Benjamin Graham. Especially the 1941 Edition, is the best.

Its very tough to read it, but if you do it will be incredibly transforming.

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