Question

show the accounting equation on the basis of the following transaction and prepare a balance sheet on the basis of the last new equation.
1. started business with cash- Rs.15000
2.rent received-Rs.500
3.Accured interest-Rs.125
4.commission received in advance-Rs.250​

Answer 1

Answer:

Asset+Liability = Capital

Here Rent received ,Accrued interest are Assets and

Received commission in advance is Liability

The business cash was considered us Capital

=500+125+250=15000