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Question 25 Chapter 3 – Unimax Publications of Class 11
25. Show the accounting equation on the basis of following transactions:
(a) Commenced business with ₹ 65,000
(b) Paid rent in advance ₹ 1,200
(c) Purchased a typewriter for ₹ 4,000
(d) Bought furniture on credit for ₹ 2,100 from X
(e) Purchased goods for cash ₹ 24,000
(f) Sold goods (cost in Rs.12000) for cash ₹ 20,000
(g) Purchased household goods for ₹ 10,000 giving ₹ 4,000 in cash and balance through loan.
(h) Goods destroyed by fire (cost price ₹ 300, ₹ sale price 375)
(i) Paid cash 1,000 for loan and 300 for interest
(j) Withdraw goods for personal use (cost prices ₹ 250, sale price ₹ 320)
(k) Paid salary ₹ 700 and salary outstanding ₹ 140
(l) Charge depreciation ₹ 120 on furniture
(m) Paid ₹ 2050 to X in full settlement
(n) Paid telephone bill ₹ 420.
The solution of Question 25 Chapter 3 – Unimax Publications of Class 11:
| Transactions | Assets | Liabilities | + Capital | ||||||
| Cash | +Prepaid Rent | +Office equipment | +Furniture | +Stock | X | +Loan | +O/S Salaries | ||
| (a) Commenced business with ₹ 65,000 | 65,000 | 65,000 | |||||||
| (b) Paid rent in advance ₹ 1,200 | 1,200 | 1,200 | |||||||
| (c) Purchased a typewriter for ₹ 4,000 | 4,000 | 4,000 | |||||||
| (d) Bought furniture on credit for ₹ 2,100 from X | 2,100 | 2,100 | |||||||
| (e) Purchased goods for cash ₹ 24,000 | 24,000 | 24,000 | |||||||
| (f) Sold goods (cost in Rs.12000) for cash ₹ 20,000 | 20,000 | 12,000 | 8,000 | ||||||
| (g) Purchased household goods for ₹ 10,000 giving ₹ 4,000 in cash and balance through loan. | 4,000 | 6,000 | 10,000 | ||||||
| (h) Goods destroyed by fire (cost price ₹ 300, ₹ sale price 375) | 300 | 300 | |||||||
| (i) Paid cash 1,000 for loan and 300 for interest | 1,300 | 1,000 | 300 | ||||||
| (j) Withdraw goods for personal use (cost prices ₹ 250, sale price ₹ 320) | 250 | 250 | |||||||
| (k) Paid salary ₹ 700 and salary outstanding ₹ 140 | 700 | 140 | 840 | ||||||
| (l) Charge depreciation ₹ 120 on furniture | 120 | 120 | |||||||
| (m) Paid ₹ 2050 to X in full settlement | 2,050 | 2,100 | 50 | ||||||
| (n) Paid telephone bill ₹ 420. | 420 | 420 | |||||||
| 47,330 | 1,200 | 4,000 | 1,980 | 11,450 | – | 5,000 | 140 | 60,820 | |
| 65,960 | 65,960 | ||||||||
BALANCE SHEET
| Liabilities | Amount | Assets | Amount |
| X (Creditors) | 0 | Cash | 47,330 |
| Outstanding Salaries | 140 | Prepaid Rent | 1,200 |
| Capital | 60,820 | Office Equipment | 4,000 |
| Loan | 5,000 | Furniture | 1,980 |
| Stock | 11,450 | ||
| 65,960 | 65,960 |
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