Question

9. Prepare an accounting equation from the following: i) Started business with cash Rs. 2,00,000 and Building Rs. 10,00,000 ii) Purchased goods worth Rs. 50,000 for cash. iii) Sold goods (costing Rs. 30,000) for Rs. 40,000 to Ramesh on credit. iv) Depreciation charged on Building @ 10%. v) Interest on capital Rs. 1,000 vi) Interest on drawings Rs. 5,000. vii) Received from Ramesh Rs. 38,000 in full settlement. viii) Cash withdrawn for personal use Rs. 20,000​

Answer 1

Answer:

I)capital a/c dr.

to cash a/c

ii) purchased a/c. dr

to cash a/c

iii) Ramesh a/c dr

to sales a/c

iv)