Balances is a photo at a date. Income is the film. Pick a period and read down.

Assets: Cash, Receivables (customers owe you), Prepayments (paid ahead), Net fixed assets (equipment minus depreciation). Liabilities: Payables (you owe vendors), Unearned revenue (paid for work not yet done). Net worth = assets minus liabilities. It grows only with real profit.

Tips: Cash should match your bank after each routine. Receivables growing every month means a collection problem. Net worth rising over the year means you win.