Question

Which of the following is not correct accounting equation?​

Answer 1

Answer:

The equation is:

Owner's Funds+liaberties=Total Assets Capital+Reserves&Surplus=Fixed Assets+Current Assets.

Therefore booths the sides are equal i.e assets and liabilities.

Hence below equation is not correct Assets-Liabilities=Equity.

Answer 2

Answer:

Assets + Owner’s Equity = Liabilities

Explanation:

The equation is:  

Owner's equity + liabilities  = Total Assets Capital + Reserves & Surplus = Fixed Assets + Current Assets.

Therefore, both the sides are equal i.e assets and liabilities.

Hence above equation is  correct  Liabilities = Assets + owner's  Equity.