Question

Fill in the blanks with correct words :
i. Accounting equation is also called as ____________ equation.
ii. Asset = ____________ + Liabilities
iii. Accounting equation satisfies the ____________ concept of
accounting.
iv. Accounting equation serves as a basis for preparing
____________.
v. Capital = Assets - ____________
vi. Liabilities = ____________ - Capital.

Answer 1

Answer:

i) Understanding the Accounting Equation

The accounting equation is also called the basic accounting equation or the balance sheet equation. While assets represent the valuable resources controlled by the company, the liabilities represent its obligations