how will you deal with the following items in accounting equation ?
(a) outstanding expenses
(b) prepaid expenses
(c)any income
(d) drawing
(d)
(

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Solution

Outstanding Expenses- These expenses will be deducted from the Capital and added to the liabilities.
Prepaid Expenses- These expenses will be added both to the assets and capital.
Income- All incomes will be added to both the capital and assets.
Drawings- Drawings either in cash on in other form (e.g. withdrawn of goods for personal use) will be deducted both from capital and assets.

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how will you deal with the following items in accounting equation ?(a) outstanding expenses(b) prepaid expenses(c)any income(d) drawing(d)(

how will you deal with the following items in accounting equation ?
(a) outstanding expenses
(b) prepaid expenses
(c)any income
(d) drawing
(d)
(