AE for Liability

Q.

Show The Effect Of The Following Transactions On Assets, Liabilities And Capital Using The Accounting Equation. Also Prepare A Balance Sheet: (I) Started Business With Cash Rs. 60, 000 (Ii) Rent Received Rs. 2, 000 (Iii) Accrued Interest Rs. 500 (Iv) Commission Received In Advance Rs. 1, 000 (V) Amount Withdrawn Rs. 5, 000 -

Q.

When loan of Rs.10, 000 is taken the from bank, what will be the impact in accounting equation?

1. Assets and Capital increases by 10, 000

2. Assets and Liabilities increases by 10, 000

3. No Impact

4. none of these

Q.

An entity gets a bank loan of Rs 1, 00, 000. What elements of the accounting equation shall get affected by this?

1. Assets, Liabilities & Capital

2. Assets & Liabilities

3. Liabilities & Capital

4. Assets & Capital

Q.

Cash = Rs. 1, 000, Debtors = Rs. 5, 000, Inventories = Rs. 4, 000, Capital+Liabilities = Rs. 15, 000. What is the amount of fixed assets?

1. Rs.5, 000

2. Rs.15, 000

3. Rs.10, 000

4. None of the above

Q.

Monika has the following assets and liabilities as on 31st March, 2016. Ascertain her capital. Cash Rs. 50, 000, bank Rs. 95, 000, debtors Rs. 36, 000, plant and machinery Rs. 1, 60, 000, building Rs. 4, 00, 000, furniture Rs. 48, 000, creditors Rs. 44, 000, bills receivable Rs. 1, 13, 000 and bills payable Rs. 47, 000.

Q.

The building has been purchased by taking a bank loan. What elements of the accounting equation shall get effected by this?

1. Assets & Liabilities

2. Assets, Liabilities & Capital

3. Assets & Capital

4. Liabilities & Capital

Q. When a loan is taken from the bank, the value of assets will.

1. increase
2. decrease
3. not change

Q.

How do you prepare a balance sheet?

Q. Following balances were extracted from the ledger of Shri Govinda on 31st March 2012. Prepare Trial Balance as on 31st March 2012.

Q. When a loan is taken from the bank, the value of assets will .

1. increase
2. decrease
3. not change

Q.

Question

Q. On 1st April 2012, frm had assets of 5, 00, 000 including cash of Rs 20, 000. The firm had a reserve fund of Rs 90, 000, partners capital a/c showed a balance of Rs 3, 80, 000 and creditors amounted to Rs 30, 000. If the normal rate of return is 20 % and the goodwill of the firm is valued at Rs 64, 000 at 4 years ofsuper profit, find the average profits of the firm.
how do you solve this problem?

Q. Journalise the following transaction:
Assets: Cash in Hand Rs.2, 000; Cash at Bank Rs. 68, 000; Stocks of goods Rs. 40, 000; Machinery Rs. 1, 00, 000; Furniture Rs. 10, 000; M/s. Narain Bros. owe Rs. 15, 000; M/s B.K. Bros. owe Rs. 25, 000.
Liabilities: Loan Rs. 50, 000; sum owing to Jacob Bros. Ltd. Rs. 20, 000.

Q.