accountancy 11std how the accounting equation on the basis of the following started business with cash rs, 60, 000 purchased goods for cash rs. 20, 000 sold goods for cash costing rs. 10, 000rs. 15, 000 paid rent by cash rs. 500
Share
accountancy 11std how the accounting equation on the basis of the following started business with cash rs, 60, 000 purchased goods for cash rs. 20, 000 sold goods for cash costing rs. 10, 000rs. 15, 000 paid rent by cash rs. 500
Sign Up to our social questions and Answers Engine to ask questions, answer people’s questions, and connect with other people.
Login to our social questions & Answers Engine to ask questions answer people’s questions & connect with other people.
Answer:
No. Transaction Assets = Liabilities + Capital
Cash + Furniture + Stock = Creditors
(i) Sandeep started business with cash 1,00,000 + 1,00,000
1,00,000 = + 1,00,000
(ii) Purchased furniture for cash –5,000 +5,000
95,000 + 5,000 = + 1,00,000
(iii) Purchased goods for cash –20,000 +20,000
75,000 + 5,000 + 20,000 = + 1,00,000
(iv) Purchased goods on credit +36,000 +36,000
75,000 + 5,000 + 56,000 = 36,000 + 1,00,000
(v) Rent paid -700 –700
74,300 + 5,000 + 56,000 = 36,000 + 99,300
(vi) Goods costing Rs 40,000 sold at a profit of 20% for cash +48,000 -40,000 +8,000
1,22,300 + 5,000 + 16,000 = 36,000 + 1,07,300