Question

prepare accounting equation from the following
1) sandeep started a business with cash100000
2) purchased furniture for cash 5000
3) purchase goods for cash 20000
4) purchase goods on credit 36000
5) paid rent 700
6) goods costing 40000 sold at a profit of 20% for cash
plssssss solve emidiatly it's very important for me​

Answer 1

particular Debit Credit

(Rs) (Rs)

1) Cash a/c Dr. 100000

To Capital a/c 100000

(Being business started with cash)

2) Furniture a/c Dr. 5000

To Cash a/c 5000

(Being furniture purchased for cash)

3) Purchases a/c Dr. 20000

To Cash a/c 20000

(Being goods purchased for cash)

4) Purchases a/c Dr. 36000

To Cash a/c 36000

(Being goods purchased on credit)

5) Rent a/c Dr. 700

To Cash a/c 700

(Being rent paid)

6) Goods a/c Dr. 48000

To Sales a/c 48000

(Being goods sold at 20%profit for cash)