Question No 18 Chapter No 4 – USHA Publication 11 Class

Question No 18 Chapter No 4

Question No 18 Chapter No 4

18. Show the effect of the following transaction on accounting equation:

   
(i)  Sukhbir started the business with a bank balance 
(ii) Taxes collected from the following the customer Rs 15,000
(iii) Bank charges Rs 1,000
(iv) Collected taxes deposited with the government Rs 12,000
(v)  Income tax paid by cheque Rs 9,000
(vi) Life insurance premium paid in cash Rs 2,000

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The solution of Question No 18 Chapter No 4: –

 

S. No.  Particulars Assets
Liabilities Capital
Bank +cash Taxes collected
i Commenced business with the bank 70,000   70,000
    70,000   70,000
ii Tax collected from customer   +15,000 +15,000
    30,000 + 15,000  15,000 70,000
iii Bank charges -1,000   -1,000
    69,000 + 15,000 15,000 69,000
iv Taxes deposited with Government   -12,000 -12,000  
    69,000 + 3,000 +3,000 69,000
v Income tax paid by cheque -9,000     -9,000
    60,000 + 3,000 3,000 60,000
vi Interest given to prop   -2,000   -2,000
  Total  60,000 + 1,000
3,000 58,000


Answer: –

Assets =
60,000 + 1,000     = 61,000/-

Capital = 58,000/-

Liabilities = 3,000/-

Liabilities  +Capital

58,000 + 3,000 = 61,000/-

 

What is Accounting Equation | Example

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

Chapter No. 1 – Introduction

Chapter No. 2 – Theory Base of Accounting 

Chapter No. 3 – Vouchers and transactions

Chapter No. 4 – Journal

Chapter No. 5 – Ledger

Chapter No. 6 – Cash Book

Chapter No. 7 – Other Subsidiary Books

Chapter No. 8 – Journal Proper

Chapter No. 9 – Trial Balance 

Chapter No. 10 – Bank Reconciliation Statement

Chapter No. 11 – Depreciation

Chapter No. 12 – Provisions and Reserves 

Chapter No. 13 – Bills of Exchange

Chapter No. 14 – Rectification of Errors 

Chapter No. 15 – Financial Statements – (Without Adjustments)

Chapter No. 16 – Financial Statements – (With Adjustments)

 

 

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