Question No 13 Chapter No 4

13. Give accounting equations for the following transactions of Hitesh for the year 2016-17

 (a) Started business with cash Rs 18,000 (b) Paid rent in advance Rs 400 (c) Purchased goods for the cash Rs 5,000 and on credit Rs 2,000 (d) Sold goods for cash Rs 4,000 ( costing Rs 2,400) (e) Rent paid Rs 1,000 and rent outstanding Rs 200 (f) Bought motorcycle for the personal use Rs 8,000 (g) Purchased equipment for the cash Rs 500 (h) Paid to creditors Rs 600 (i) Depreciation on equipment Rs 25

## The solution of Question No 13 Chapter No 4: –

 S. No. Particulars Assets Liabilities Capital Cash + Ad. Rent +Stock +equipment Creditor a Commenced business with cash 18,000 – – 18,000 18,000 – – 18,000 b Rent paid in advance -400 +400 – – 17,600 +400 – 18,000 c Purchased goods on credit and cash -5,000 +7,000 2,000 – 12,600 +400 + 7000 2,000 18,000 d Sold goods at profit on the cash +4,000 -2,400 +1,600 16,600 +400 + 4,600 2,000 19,600 e Rent paid and outstanding rent paid -1,200 -1,200 15,400 +400 + 4,600 2,000 18,400 f Bought motorcycle for personal use +-8,000 -8,000 15,400 +400 + 4,600 2,000 10,400 g Purchased equipment for cash -500 + 500 6,900 +400 + 4,600 + 500 2,000 10,400 h Paid to creators -600 – 600 6,300 +400 + 4,600 + 500 1,400 10,400 i Depreciation on equipment -25 -25 Total 6,300 +400 + 4,600 + 475 1,400 10,375

Assets =
6,300 + 400 6+ 4,600 + 475 = 11,775/-

Capital = 10,375/-

Liabilities = 1,400/-

Liabilities  +Capital

1,400+ 10,375= 11,775/-

What is Accounting Equation | Example

Thanks, Please Like and share with your friends

Comment if you have any question.

Also, Check out the solved question of all Chapters: –

## Usha Publication – Elements of Book-Keeping PSEB (Class 11) – Solution

Chapter No. 1 – Introduction

Chapter No. 2 – Theory Base of Accounting

Chapter No. 3 – Origin of Transactions

Chapter No. 4 – Vouchers and transactions

Chapter No. 5 – Journal

Chapter No. 6 – Accounting for Goods and Services Tax(GST)

Chapter No. 7 – Ledger

Chapter No. 8 – Cash Book

Chapter No. 9 – Other Subsidiary Books

Chapter No. 10 – Journal Proper

Chapter No. 11 – Trial Balance

Chapter No. 12 – Bank Reconciliation Statement

Chapter No. 13 – Depreciation

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)