Question

The difference between Assets and Liabilities of a Trade is called ............., Fill in the blank.

Answer 1

The difference between Assets and Liabilities of a Trade is called Equity.

Answer 2

The difference between Assets and Liabilities of a Trade is called equity. In financial accounting process, the equity of owner contains the overall assets of the entity.

The net asset is a huge variation between the overall liabilities and overall assets.  The equity appears on a balance sheet, one of the 4 key financial statements.