Question

Prepare Accounting Equation on the basis of the following:
a. Kunal started business with cash Rs 2.50.000
b. He purchased furniture for cash Rs. 35.000
C. He paid commission of Rs. 2,000 0
20
d.He sold good (costing Rs. 20.000) for Rs. 22.000
e. He purchased goods on credit Rs. 40.000
f. He gave loan to Anil Rs.5.000​

Answer 1

Explanation:

accounting equation in the books of Ramesh started business with cash rupees 250000/purchased goods on credit Rs. 10000/sold goods costing Rs .5000 for Rs .7000 /purchased goods for cash Rs .4000 /rent paid Rs . 500 and rent outstanding Rs . 400/sold goods on credit rupees 12000 costing Rs . 14000 / paid salary in advance 1000 / received interest Rs . 200