Question No 10 Chapter No 4
10. Show the accounting equation on the basis of the following transaction:
| Rs | ||
| (i) | Harish started business with cash | 15,000 |
| (ii) | Purchased goods on credit | 7,000 |
| (iii) | Purchased furniture for cash | 500 |
| (iv) | Deposited in bank | 2,000 |
| (v) | Sold goods on credit to Satish(coating Rs 4,000) at | 6,000 |
| (vi) | Withdrew cash fort private use | 200 |
| (vii) | Paid salaries | 300 |
The solution of Question No 10 Chapter No 4: –
| S. No. | Particulars | Assets |
Liabilities | Capi tal |
||||
| Cash | + Stock |
+ furni ture |
+ Bank |
+ Debtors |
Creditor | |||
| 1 | Commenced business with cash, Stock and furniture | 15,000 | – | – | – | 15,000 | ||
| 15,000 | – | – | – | 15,000 | ||||
| 2 | Purchase goods on credit | + 7,000 | – | + 7,000 | – | |||
| 15,000 | + 7,000 | – | 7,000 | 15,000 | ||||
| 3 | Purchased furniture for cash | – 500 | – | +500 | – | – | ||
| 14,500 | + 7,000 | 500 | 7,000 | 15,000 | ||||
| 4 | Deposited into bank | -2,000 | – | +2,000 | ||||
| 12,500 | + 7,000 | + 500 | +2,000 | 7,000 | 15,000 | |||
| 5 | Sold goods on credit at profit | – | -4,000 | – | +6,000 | +2,000 | ||
| 12,500 | + 3,000 | + 500 | +2,000 | +6,000 | 7,000 | 17,000 | ||
| 6 | Withdrew cash for private use | -200 | -200 | |||||
| 12,500 | + 3,000 | + 500 | +1,700 | +6,000 | 7,000 | 16,700 | ||
| 7 | Salaries Paid | -300 | – | -300 | ||||
| Total | 12,200 | +3,000 |
+500 |
+1,700 | + 6,000 | 7,000 |
16,400 | |
Answer: –
Assets = 12,200 + 3,000 + 500 + 1,700 + 6,000 = 23,400/-
Capital = 16,400/-
Liabilities = 7,000/-
Liabilities +Capital
7,000+ 16,400= 23,400/-
What is Accounting Equation | Example
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Also, Check out the solved question of all Chapters: –
Usha Publication – Elements of Book-Keeping PSEB (Class 11) – Solution
Chapter No. 2 – Theory Base of Accounting
Chapter No. 3 – Origin of Transactions
Chapter No. 4 – Vouchers and transactions
Chapter No. 6 – Accounting for Goods and Services Tax(GST)
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Chapter No. 9 – Other Subsidiary Books
Chapter No. 10 – Journal Proper
Chapter No. 11 – Trial Balance
Chapter No. 12 – Bank Reconciliation Statement
Chapter No. 14 – Provisions and Reserves
Chapter No. 15 – Bills of Exchange
Chapter No. 16 – Rectification of Errors
Chapter No. 17 – Financial Statements – (Without Adjustments)
Chapter No. 18 – Financial Statements – (With Adjustments)
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