Solution:

The transaction of selling goods on credit to Manish can be analyzed using the accounting equation, which is Assets = Liabilities + Equity. Here, the assets refer to the value of goods sold, while the liabilities refer to the amount receivable from Manish, and equity refers to the owner's capital or investment in the business.

The following are the details of the transaction and their impact on the accounting equation:

Assets: The value of goods sold on credit to Manish is an asset for the business. The value of goods is Rs. 20,000.

Liabilities: The amount receivable from Manish is a liability for the business, as it represents the amount owed by him to the business. The amount receivable is Rs. 17,500.

Equity: The owner's investment in the business remains the same as there is no change in the capital of the business due to this transaction.

Therefore, the impact of the transaction on the accounting equation can be summarized as follows:

Assets (Goods) = Rs. 20,000

Liabilities (Amount Receivable) = Rs. 17,500

Equity (Capital) = No change

HTML Bullet Points:

- Assets: The value of goods sold on credit to Manish is an asset for the business. The value of goods is Rs. 20,000.
- Liabilities: The amount receivable from Manish is a liability for the business, as it represents the amount owed by him to the business. The amount receivable is Rs. 17,500.
- Equity: The owner's investment in the business remains the same as there is no change in the capital of the business due to this transaction.

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The accounting equation can be summarized as follows:

Assets (Goods) = Rs. 20,000

Liabilities (Amount Receivable) = Rs. 17,500

Equity (Capital) = No change