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What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine?
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What will be the transaction in accounting equations of these:- 1. sta...
Transaction in Accounting Equations:
1. Started business with cash.rs100000
- Assets increase by Rs. 100000 (Cash)
2. Deposited cash into bank.rs.60000
- Assets increase by Rs. 60000 (Bank)
- Assets decrease by Rs. 60000 (Cash)
3. Bought a machine by raising a loan .rs 50000
- Assets increase by Rs. 50000 (Machine)
- Liabilities increase by Rs. 50000 (Loan)
4. Bought goods for cash rs. 20000 and on credit.rs.40000
- Assets increase by Rs. 60000 (Inventory)
- Assets decrease by Rs. 20000 (Cash)
- Liabilities increase by Rs. 40000 (Accounts Payable)
5. Goods bought for cash were sold to Amit.rs 25000
- Assets increase by Rs. 25000 (Accounts Receivable)
- Assets increase by Rs. 25000 (Cash)
- Assets decrease by Rs. 25000 (Inventory)
6. Amit returned goods worth.rs 5000
- Assets decrease by Rs. 5000 (Inventory)
- Assets decrease by Rs. 5000 (Accounts Receivable)
7. Amit settled his a/c by paying.rs 19500
- Assets increase by Rs. 19500 (Cash)
- Assets decrease by Rs. 19500 (Accounts Receivable)
8. Paid installment of bank loan rs 20000 and paid interest by cheque.rs 2000
- Liabilities decrease by Rs. 20000 (Loan)
- Assets decrease by Rs. 2000 (Interest Expense)
- Assets decrease by Rs. 20000 (Cash)
9. Charge 10% depreciation on machine
- Assets decrease by Rs. 5000 (Depreciation Expense)
- Assets decrease by Rs. 5000 (Accumulated Depreciation)
Explanation:
Depreciation is the systematic allocation of the cost of an asset over its useful life. It is a non-cash expense that reduces the value of the asset over time. In this case, the machine was bought for Rs. 50000, and it is assumed to have a useful life of 10 years. Therefore, the annual depreciation would be Rs. 5000 (Rs. 50000 / 10). The depreciation expense would be charged every year, and the accumulated depreciation account would be increased by the same amount. The accumulated depreciation account is a contra-asset account that reduces the value of the machine on the balance sheet. At the end of the asset's useful life, the accumulated depreciation account would be equal to the cost of the asset, and the asset would be fully depreciated.
1. Started business with cash.rs100000
- Assets increase by Rs. 100000 (Cash)
2. Deposited cash into bank.rs.60000
- Assets increase by Rs. 60000 (Bank)
- Assets decrease by Rs. 60000 (Cash)
3. Bought a machine by raising a loan .rs 50000
- Assets increase by Rs. 50000 (Machine)
- Liabilities increase by Rs. 50000 (Loan)
4. Bought goods for cash rs. 20000 and on credit.rs.40000
- Assets increase by Rs. 60000 (Inventory)
- Assets decrease by Rs. 20000 (Cash)
- Liabilities increase by Rs. 40000 (Accounts Payable)
5. Goods bought for cash were sold to Amit.rs 25000
- Assets increase by Rs. 25000 (Accounts Receivable)
- Assets increase by Rs. 25000 (Cash)
- Assets decrease by Rs. 25000 (Inventory)
6. Amit returned goods worth.rs 5000
- Assets decrease by Rs. 5000 (Inventory)
- Assets decrease by Rs. 5000 (Accounts Receivable)
7. Amit settled his a/c by paying.rs 19500
- Assets increase by Rs. 19500 (Cash)
- Assets decrease by Rs. 19500 (Accounts Receivable)
8. Paid installment of bank loan rs 20000 and paid interest by cheque.rs 2000
- Liabilities decrease by Rs. 20000 (Loan)
- Assets decrease by Rs. 2000 (Interest Expense)
- Assets decrease by Rs. 20000 (Cash)
9. Charge 10% depreciation on machine
- Assets decrease by Rs. 5000 (Depreciation Expense)
- Assets decrease by Rs. 5000 (Accumulated Depreciation)
Explanation:
Depreciation is the systematic allocation of the cost of an asset over its useful life. It is a non-cash expense that reduces the value of the asset over time. In this case, the machine was bought for Rs. 50000, and it is assumed to have a useful life of 10 years. Therefore, the annual depreciation would be Rs. 5000 (Rs. 50000 / 10). The depreciation expense would be charged every year, and the accumulated depreciation account would be increased by the same amount. The accumulated depreciation account is a contra-asset account that reduces the value of the machine on the balance sheet. At the end of the asset's useful life, the accumulated depreciation account would be equal to the cost of the asset, and the asset would be fully depreciated.
Community Answer
What will be the transaction in accounting equations of these:- 1. sta...
1.cash account. dr. to capital account2.bank account. dr. to caah account3.machine account. dr. to bank/loan account4.goods account. dr. to cash account. 5.amit account. dr. to cash account6.sales return account. dr. to cash account7.amit account dr. discount account dr. to cash account8. cash a/c dr. to bank loan a/c to bank a/c9.machinety a/c dr. to depriciation a/c
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What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine?
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What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine?.
What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine?.
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What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine?, a detailed solution for What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine? has been provided alongside types of What will be the transaction in accounting equations of these:- 1. started business with cash.rs100000 2.deposited cash into bank.rs.60000 3.bought a machine by raising a loan .rs 50000 4.bought goods for cash rs. 20000 and on credit.rs.40000 5. goods bought for cash was sold to amit.rs 25000 6.amit return goods worth.rs 5000 7.amit settled his a/c by paying.rs 19500 8.paid instalment of bank loan rs 20000 and paid interest by cheque.rs 2000 9. charge 10% depreciation on machine? theory, EduRev gives you an
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