Accounting Equation Effect On Balance Sheet Homework Help
- November 29, 2017
- Posted by:
- Category: Accounting
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Tutorial Anil made the following transactions in relation to his business.
Use the accounting equation to show their effect on his assets, liabilities and capital:
1.Started business with cash Rs 50000
2.Purchased a Machine on credit Rs. 4000 from M/S Mohan Machines
3.Purchased goods for cash Rs. 10000
4.Purchased furniture for Rs. 12000
5.Withdrew for personal use Rs. 700
6.Borrowed from Bank Rs.10000
7.Paid rent in advance Rs. 1500
8.Received interest Rs. 1000
9.Sold goods costing Rs 5000 for Rs 7000 for cash
10.Sold goods to Shyam costing Rs 4000 for Rs. 6000
11.Purchased household goods for Rs.9000 giving Rs3000 in cash and balance through a loan
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12.Goods destroyed by fire (Cost Rs 500, Sale price Rs 700)
13.Paid half the amount owed to Mohan Machines
14.Paid salaries Rs. 18000 and outstanding salary Rs. 2000
15.Received Rs. 5800 from Shyam in full settlement
16.Paid Rs 1900 to Mohan machines in full settlement
17.Further capital invested Rs. 40000
18.Charged depreciation of Rs. 400 on machine and Rs. 2000 on furniture
19.Paid insurance premium Rs. 2000
20.Received advance payment from customer Mr. Ram Rs. 5000
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