Question

17. Analyse the effect of each transaction on assets and liabilities and show that the both sides of
accounting equation remains equal:
Maruti started business with cash Rs 300,000.
He purchased furniture for cash Rs.35,000
He purchased goods from Santosh on credit Rs.40.000
iv. He sold goods to Prakash R$20,000 for cash.
Cash paid to Santosh in full settlement.
vi. Cash withdrew for personal use Rs.5,000.
​

Answer 1

Answer:

1st. in Dr side

2nd cr. side