first equation of accountancy
anuritha:
you mean olden rules
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The equation that is the foundation of double entry accounting. The accounting equation displays that all assets
are either financed by borrowing money or paying with the money of the
company's shareholders. Thus, the accounting equation is: Assets = Liabilities + Shareholder Equity. The balance sheet
is a complex display of this equation, showing that the total assets of
a company are equal to the total of liabilities and shareholder equity.
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