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Tamil Nadu Board of Secondary EducationHSC Commerce Class 11

Complete the accounting equation. Assets = Capital + Liabilities ₹ 2,00,000 = ? + ₹ 40,000

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Question

Complete the accounting equation.

Assets = Capital + Liabilities

₹ 2,00,000 = ? + ₹  40,000

Sum
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Solution

Capital = Assets – Liabilities

Capital = ₹ 2,00,000 – ₹ 40,000

Capital = ₹ 1,60,000

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Approaches of Recording Transactions
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Chapter 3: Books of Prime Entry - Exercises [Page 59]

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Samacheer Kalvi Accountancy [English] Class 11 TN Board
Chapter 3 Books of Prime Entry
Exercises | Q IV 1. (b) | Page 59

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For the following transactions, show the effect on the accounting equation.

  1. Raj started business with cash - ₹ 40,000
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  6. Sold goods to Murugan and cash received - ₹ 6,000
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What will be the effect of the following on the accounting equation?

  1. Sunil started business with ₹ 1,40,000 cash and goods worth ₹ 60,000
  2. Purchased furniture worth ₹ 20,000 by cash
  3. Depreciation on furniture ₹ 800
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  5. Paid electricity charges through net banking ₹ 500
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Create an accounting equation on the basis of the following transactions:

  1. Rakesh started business with a capital of ₹ 1,50,000
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  4. Sold goods (costing ₹ 10,000) to Mohan for ₹ 14,000 who pays through debit card
  5. Commission received by cheque and deposited the same in the bank ₹ 2,000
  6. Paid office rent through ECS ₹ 6,000
  7. Sold goods to Raman for ₹ 15,000 of which ₹ 5,000 was received at once

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