When two balanced forces cancel each other out, they are considered to be in equilibrium.

Here's why:

* Balanced Forces: Forces that are equal in magnitude and opposite in direction.

* Equilibrium: A state where the net force acting on an object is zero. This means the object is either at rest or moving at a constant velocity.

So, when balanced forces act on an object, they result in a net force of zero, leading to equilibrium.