God is all powerful and all good.

But there is evil in the world.

Therefore God either sees the evil, and chooses to ignore it (therefore he is not good).

Or he can not stop the evil even though he wants too (therefore he is not powerful).

Which do you prefer when you worship your God?

where does balance play into this argument?

You idiot. All you are saying is the question "Why does God let bad things happen?" No one knows.

My theory is that God is non-sentient, and therefore, neither good nor bad. It's merely the wellspring of all creation.

My theory is that god is non-existent.

Way to go into detail.