Accounting Equation (1-10)

On January 1st, 2009 an entity's balance sheet showed total assets of Rs. 750 and liabilities of Rs. 250. Owners' equity at January 1st was?

Rs. 500

Rs. 250

Rs. 1,000

Rs. 750

Correct! Wrong!

Find out value of account receivable from following Cash Rs. 48,000 account payable Rs. 33,000 office equipment Rs. 21,000 owner equity Rs. 77,000?

Rs. 41,000

Rs. 21,000

Rs. 15,000

Rs. 110,000

Correct! Wrong!

Which of the following statements is incorrect?

Liabilities + Capital = Assets

Assets - Capital = Liabilities

Liabilities + Assets = Capital

Assets – Liabilities = Capital

Correct! Wrong!

The accounting equation should remain in balance because every transaction affects how many accounts?

All of given options

Two or more

Only one

Only two

Correct! Wrong!

Which one of the following equations correctly expresses the relationship between assets (A), liabilities (L), revenues (R), expenses (E) and capital (C)?

A = C + L + (R-E)

A = (L - C) + (R - E)

A = L + R + E + C

A = C - (R - E) + L

Correct! Wrong!

Which of the following is not a correct form of the Accounting Equation?

Assets – Liabilities = Owner’s Equity

Assets = Liabilities + Owner Equity

Assets = Claims

Assets + Owner’s Equity = Liabilities

Correct! Wrong!

If the assets of a business are Rs. 100,000 and equity is Rs. 20,000, the value of liability will be?

Rs. 100,000

Rs. 120,000

20,000

Rs. 80,000

Correct! Wrong!

Find out the missing value liabilities in an accounting equation with the help of given data?

Rs. 291, 000 liabilities

Rs. 111, 000 liabilities

Rs. 290, 000 liabilities

Rs. 201,000 liabilities

Correct! Wrong!

During a reporting period, a company’s assets increase by Rs. 80,000,000. Liabilities decrease by Rs. 20,000,000. Equity must therefore?

Increase by Rs. 100,000,000

Decrease by Rs. 60,00,000

Increase by Rs. 60,000,000

Decrease by Rs. 100,000,000

Correct! Wrong!

Consider the following data?

Rs. 198,000

Rs. 49,000

Rs. 440,000

Rs. 55,000

Correct! Wrong!

On January 1st, 2009 an entity's balance sheet showed total assets of Rs. 750 and liabilities of Rs. 250. Owners' equity at January 1st was?

Find out value of account receivable from following Cash Rs. 48,000 account payable Rs. 33,000 office equipment Rs. 21,000 owner equity Rs. 77,000?

Which of the following statements is incorrect?

The accounting equation should remain in balance because every transaction affects how many accounts?

Which one of the following equations correctly expresses the relationship between assets (A), liabilities (L), revenues (R), expenses (E) and capital (C)?

Which of the following is not a correct form of the Accounting Equation?

If the assets of a business are Rs. 100,000 and equity is Rs. 20,000, the value of liability will be?

Find out the missing value liabilities in an accounting equation with the help of given data?

During a reporting period, a company’s assets increase by Rs. 80,000,000. Liabilities decrease by Rs. 20,000,000. Equity must therefore?

Consider the following data?

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