Question

Prepare an Accounting Equation from the following: (a) Started business with cash Rs.10,000 (b) Rent received Rs.2,000 (c) Accrued interest Rs.500 (d) Commission received in advance Rs.1,000 (e) Amount withdrawn Rs.5,000

Answer 1

Answer:

Explanation:

a) Cash Ac Dr 10000

To Capital Ac 10000

b) Cash Ac Dr 2000

To Rental Income 2000

C) Accrued Interest Dr 500

To Interest Income 500

d) Cash Ac Dr 1000

To Commission Received in Advance 1000

( As it is no earned, it is shown as liability)

e) Drawings Ac Dr 5000

To Cash Ac 5000

Answer 2

Explanation:

Prepare an Accounting Equation from the following: a)Started business with cash Rs. 10000 b)Rent received Rs … Get the ... C) Accrued interest (500)=p/l account (500)+liabilities (0). D)