Question

Prepare accounting equation from the foolowing:-

1. Sandeep started business with cash Rs. 1,00,000

2.purcshased furniture for cash Rs. 5,000

3. purchased good for Rs. 20,000

4. purchased good on credit Rs. 36,000

5. paid for rent Rs. 700

6. goods costing s. 40,000 sold at a profit of 20% for cash

Answer 1

cash ac dr

to sandeeps capital ac

furniture ac dr

to cash

stock ac dr

to cash

stock ac dr

to vendor

rent ac dr

to cash

cash ac dr 48000

to sales 40000

to profit on sale 8000