Question

16. Show the accounting equation on the basis of following transactions:
(a) Started business with cash Rs. 60,000 and Goods Rs. 30,000.
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(b) Purchased goods for cash Rs. 40,000 and on credit Rs. 25,000
(c) Goods costing Rs. 48,000 sold at a profit 33 1/3 %. Three fourth payment
received in cash.
(d) Good costing Rs 20,000 sold at a loss of 5% out of which Rs. 12,000 received in
cash.
(e) Paid rent Rs. 4,000 and salary Rs. 6,000
() Received cash from debtors Rs. 15,000.
(g) Paid telephone bill amounting to Rs. 800​

Answer 1

Explanation:

br> (i) Started business with Cash Rs.60,000 and Goods Rs.30,000. <br> (ii)Purchased goods for Cash Rs.40,000 and on Credit Rs. 25,000. <br> (iii) Goods costing Rs. 48,000 sold at a profit of

. Three -fourth payment received in Cash <br> (iv) Goods costing Rs. 20,000 sold at a loss of 5% , out of which Rs. 12,000 received in Cash. <br> (v) Paid Rent Rs. 4,000 and Salary Rs. 6,000. <br> (vi) Received Cash from Debtors Rs.15,000. <br> (vii) Paid telephone bill amounting 800