Accounting definitions are precise, and you must understand the vocabulary to properly use accounting. Sharpen you understanding of key terms by answering the following questions:

How do assets and shareholders' equity of Dollarama differ from each other? Which one $($assets or shareholders' equity$)$ must be at least as large as the other? Which one can be smaller than the other?

How are Dollarama's liabilities and shareholders' equity similar? How are they different?

How do assets and shareholders' equity of Dollarama differ from each other? Which one $($assets or shareholders' equity$)$ must be at least as large as the other? Which one can be smaller than the other?

Assets

Shareholders' equity

is an economic obligation payable to outsiders, called creditors.

is an economic resource of a business that is expected to be of benefit in the future.

represents the claims to the assets that are held by the owners of the business.