Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Prepare the Accounting Equation for the following .Each carries 5 Marks Each Perform the Accounting Equation for the following below The details of the business

Prepare the Accounting Equation for the following .Each carries 5 Marks Each

Perform the Accounting Equation for the following below

The details of the business transactions are given below

  1. Started business with capital 1,00,000
  2. Bought furniture 25,000
  3. Bought goods for cash 20,000
  4. Bought goods from Ram on Credit 5,000
  5. Sold goods for cash for 15,000
  6. Sold goods to Shyam on credit 8,000
  7. Paid cash to Ram 4,000
  8. Received cash from Shyam 5,000
  9. Paid Cash into Bank 25,000
  10. Withdrawn from bank 10,000

Exercise 2 (5 points)

Following are the accounting transactions relating to Mr. P's business. Use the accounting equation to show their effect on his assets, liabilities and capital.

  1. Commenced business with a Capital of 50,000
  2. Bought Machinery for cash 10,000
  3. Purchased goods for cash 15,000
  4. Purchased goods from A on credit 5,000
  5. Sold goods for cash 10,000
  6. Paid to A 2,000
  7. Sold goods to B on credit 3,000
  8. Paid into Bank 6,000
  9. Paid to A by cheque 1,000
  10. Received from B a cheque for 2,000

.

Note: The answer must be in computer typing please do not handwriting

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Sound Investing, Chapter - Classification Deceit

Authors: Kate Mooney

2nd Edition

0071719385, 9780071719384

More Books

Students also viewed these Accounting questions

Question

What is a production bottleneck?

Answered: 1 week ago

Question

=+ Does it speak to you in a personal way? Does it solve a problem?

Answered: 1 week ago

Question

=+Part 4 Write one unifying slogan that could work here and abroad.

Answered: 1 week ago