Question

Give an accounting equation for the following transactions. Rohit Started business with Cash Rs 1,00,000. 1. Purchased goods on credit Rs. 20,000. 3. Sold Goods on Credit Rs. 20,000. 4. Received interest Rs. 10,000. 5. Goods Destroyed by fire Rs. 2,000.​

Answer 1

assets = liabilities + capital

1.

100000 = 0 + 100000

100000 = 0 + 100000

2.

20000 = 20000 + 0

120000 = 20000 + 100000

3

(+) 20000

$\: \: \: \: \: \: \: \: \:$= 0 + 0

(-)20000

120000 = 20000 + 100000

4 .

10000 = 0 + 10000

220000 = 20000 + 200000

5.

(-) 2000 = 0 + (-)2000

218000= 20000 + 198000