Why is the liability section of the balance sheet of primary

Why is the liability section of the balance sheet of primary significance to bankers

Solution

Liabilities section is more important for bankers because in Liabiliites side recorded comapny share holders fund and their long term and short liabilties ,in this side also showing company profit and retained earning .

These infirmation is helpful to analysis debt equity ratio and company borrowing details wether it is long term or short term payable. so banks on this basis can take desicion for finance or not.