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Question 20 Chapter 3 – Unimax Publications of Class 11
20. Aviral has the following transactions. Use accounting equations to show their his assets, liabilities and capital:
(i) Invested Rs. 45,000 in cash
(ii) Purchased securities for cash Rs. 10,000.
(iii) Purchased a home for Rs. 25,000; giving Rs. 10,000 as cash and balance through loan.
(iv) Sold securities (costing Rs. 2,000) For Rs. 2400
(v) Purchased an old motor-cycle for Rs. 6,500
(vi) Paid salaries Rs. 2,400
(vii) Received cash for dividend on securities Rs. 400
(viii) Paid cash Rs. 3,000 for loan and Rs. 750 for interest
(ix) Paid telephone bill Rs. 350.
The solution of Question 20 Chapter 3 – Unimax Publications of Class 11:
| Transactions | Assets | Liabilities | + Capital | ||
| Cash | +Investment | +Motor cycle | Loan | ||
| (i) Invested Rs. 45,000 in cash | +45,000 | +75,000 | |||
| (ii) Purchased securities for cash | -10,000 | +10,000 | |||
| (iii) Purchased a home for Rs. 25,000; giving Rs. 10,000 as cash and balance through loan. | -10,000 | 15,000 | |||
| (iv) Sold securities | +2,400 | -2,000 | +400 | ||
| (v) Purchased an old motor-cycle | -6,500 | +6,500 | |||
| (vi) Paid salaries | -2,400 | 2,400 | |||
| (vii) Received cash for dividend on securities | +400 | 400 | |||
| (viii) Paid cash for loan and interest | -3,750 | 3000 | 750 | ||
| (ix) Paid telephone bill | -350 | 350 | |||
| 14,800 | +8,000 | +6,500 | 12,000 | +17,300 | |
| 29,300 | 29,300 | ||||
BALANCE SHEET
| Liabilities | Amount | Assets | Amount |
| Loan | 12,000 | Cash | 14,800 |
| Capital | 17,300 | Investment | 8,000 |
| Motor cycle | 6,500 | ||
| 29,300 | 29,300 |
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