Accountancy, asked by Shahnawaz6044, 1 year ago

What do we do in accounting equation rent oustanding 100 salaries outsatnding 1000?

Answers

Answered by AakankshaGupta
0

On the liability side of accounting equation deduct the amount from capital head and open new heads of rent outstanding and salary outstanding and add the amounts outstanding to respective accounts.
In this way one liability has been decreased i.e capital and another liability has been increased in the form of outstanding rent or outstanding salary.

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