Question

9.
Prepare Accounting Equation from the following
(1) Started business with cash 2.00,000 goods 25,000
(ii) Goods sold costing 10.000 for cash 15.000
(1) Purchased Furniture on credit 20.000
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Answer 1

Answer:

Accounting Equation

Assets. = capital.+ liabilities . cash+ goods+ furniture. =. creditors

1. 200000+25000. = 225000

2. +15000-10000 =. 5000

3. + 20000=. +20000

215000+15000+20000=230000+20000