Question

Prove that the accounting equation is satisfied in all the following transactions of Suresh: (i) Commenced business with cash Rs.60,000. (ii) Rent paid in advance Rs.500 (iii) Purchased goods for cash Rs.30,000 and credit Rs.20,000. (iv) Sold goods for cash Rs.30,000 costing Rs.20,000.(v) Paid Salary Rs.500 and salary outstanding Rs.100. (vi) Bought motorcycle for personal use Rs.5,000.


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Answer 1

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