HE Finance Explained: Just where did my money go?

In all institutions, whether they are charities, Government Departments or Universities there are simple accounting concepts that pervade.  In this post I hope to provide some easily understood explanations for oh so complex accounting issues that help explain finances in Higher Education:

Remember: Balance sheets always balance; Universities are not corporates and so should not be compared with them in financial terms; Profit is a dirty word and efficiency is "an interesting concept Professor Carruthers, but not one that is too relevant to today's Higher Education economics."