Advertisements
Advertisements
Question
Show accounting equation for the following transactions:
1. Rohit started the business with cash of ₹ 50,000.
2. Bought goods on credit from Manoj ₹ 6,000.
3. Cash purchases ₹ 5,000.
4. Paid wages ₹ 3,000 to Casual labour.
5. Sold goods to Santosh ₹ 7,000 on credit.
6. Received Commission ₹ 1,000 from Vaishali.
Chart
Solution
| Sr. No. | Transactions | Assets (₹) | = | Liabilities | + | Capital (₹) |
| (1) | Rohit started business with cash ₹ 50,000. | 50,000 | = | 00 | + | 50,000 |
| (2) | Bought goods on credit from Manoj ₹ 6,000. | 50,000 | = | 00 | + | 50,000 |
| (+)6,000 | = | (+)6,000 | + | 00 | ||
| 56,000 | = | 6,000 | + | 50,000 | ||
| (3) | Cash purchases ₹ 5,000. | (+) 5,000 | ||||
| (-) 5,000 | 00 | 00 | ||||
| 56,000 | = | 6,000 | + | 50,000 | ||
| (4) | Paid wages ₹ 3,000 to Casual labour. | (-) 3,000 | = | 00 | (-) 3,000 | |
| 53,000 | = | 6,000 | + | 47,000 | ||
| (5) | Sold goods to Santosh ₹ 7,000 on credit. |
(-) 7,000 (+) 7,000 |
00 | 00 | ||
| 53,000 | = | 6,000 | + | 47,000 | ||
| (6) | Received Commission 1,000 from Vaishali. | (+) 1,000 | 00 | (+) 1,000 | ||
| Total | 54,000 | = | 6,000 | + | 48,000 |
shaalaa.com
Illustrations of Accounting Equations
Is there an error in this question or solution?
APPEARS IN
RELATED QUESTIONS
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Give necessary transactions for the following effect of increase and decrease in Assets, Capital and Liabilities.
| ? | Increase in Assets |
| Decrease in Assets | |
| ? | Increase in Capital |
| Decrease in Assets | |
| ? | Decrease in Liabilities |
| Decrease in Assets | |
| ? | Decrease in Assets |
| Decrease in Capital |
Give the accounting equation for the following transactions:
- Mr. Vaibhav started the business with Cash of ₹ 1,00,000.
- Purchased goods on credit from Rita Stores ₹ 9,000.
- Purchased Laptop for office use ₹ 10,000.
- Sold goods to Rina on credit ₹ 12,000.
- Received Interest ₹ 2,500.
- Paid Telephone bill ₹ 1,300.
Give the accounting equation for the following transactions.
- Mr. Swaraj commenced business with a Bank balance of ₹ 1,10,000.
- Purchased Furniture on credit from S.M Furniture Mart ₹ 25,000.
- Bought goods on credit from Yuvraj ₹ 15,000.
- Purchased Machinery ₹ 10,000.
- Paid Electricity bill ₹ 3,500.
- Goods destroyed by fire ₹ 1,500.
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) | |
| 1. | Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. | Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. | Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. | Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. | Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Sr. No. | Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. | Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. | Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3 | Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. | Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. | Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) | |
| 1. | Started business with Cash ₹50,000 | ? | = | ? | + | 50,000 |
| 2. | Purchased goods of ₹10,000 | ? | = | ? | + | ? |
| 3. | Goods stolen ₹1,000 | ? | = | ? | + | ? |
| 4. | Sold goods for cash ₹5,000 | ? | = | ? | + | ? |
| 5. | Loan taken from Bank ₹7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) | |
| 1. | Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. | Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. | Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. | Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. | Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) | |
| 1. | Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. | Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. | Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. | Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. | Loan taken from Bank ₹ 7,000 | ? | = | ? | + | ? |
Complete the following Accounting equation table.
| Sr. No. | Transaction | Assets (₹) | = | Liabilities (₹) | + | Capital (₹) |
| 1. | Started business with Cash ₹ 50,000 | ? | = | ? | + | 50,000 |
| 2. | Purchased goods of ₹ 10,000 | ? | = | ? | + | ? |
| 3. | Goods stolen ₹ 1,000 | ? | = | ? | + | ? |
| 4. | Sold goods for cash ₹ 5,000 | ? | = | ? | + | ? |
| 5. | Loan taken from Bank ₹ 7,000 | ? | = | ? | = | ? |
