Mathematical theory of balance

Abstract

It would be impossible to understand the life of a company without having read its balance sheet and without having followed its evolution over a certain period of time. But on the other hand, it would be impossible to understand the balance sheet without knowing its logical basis. Anyone who attempts to read a balance sheet without considering its rational foundation and the limits that this latter imposes on its language would be like a doctor who does not understand anatomy. It is our first duty to understand the rational theory of the accounting balance sheet.