Teacher can you explain the 17th question please. It is of accountancy.
Dear Student,
Regards
ACCOUNTING EQUATION
| Aseets | = | Liabilities | ||||
| TRANSACTIONS | CASH | STOCK | FURNITURE | = | CREDITORS | + CAPITAL |
| Started business | 500000 | 140000 | = | 640000 | ||
| bought furniture | +100000 | = | +100000 | |||
| balance | 500000 | 140000 | 100000 | = | 100000 | 640000 |
| sold goods | +175000 | (125000) | = | +50000 | ||
| balance | 675000 | 15000 | 100000 | = | 100000 | 690000 |
| paid for furniture | (100000) | = | (100000) | |||
| balance | 575000 | 15000 | 100000 | = | 0 | 690000 |