Question

Q. 24(A Show the Accounting Equation on the basis of the following and present
a balance sheet on the last new equation balances :
() Manu started business with cash 50000
(ii) Bought furniture for 500
(iii) Purchased goods on credit 4000
(iv) Sold goods on cash (cost 3500) for 700
(v) Received rent 200
(vi) Purchased goods for cash 1000
(vii) Withdrew for personal use 700
(viii) Paid to creditors 400
(ir) Paid for salaries 200

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Answer 1

Explanation:

Accounting Equation on the basis of the following and present

a balance sheet on the last new equation balances :

() Manu started business with cash 50000

(ii) Bought furniture for 500

(iii) Purchased goods on credit 4000

(iv) Sold goods on cash (cost 3500) for 700

(v) Received rent 200

(vi) Purchased goods for cash 1000

(vii) Withdrew for personal use 700

(viii) Paid to creditors 400

(ir) Paid for salaries 200