Accounting Equation : The assets, liabilities and equity relation, are known as the accounting equation. Assets are the resources of company and that increase as business expand whereas liabilities are the burden on company that has to pay in future; Equity means the owner claim on assets. An accounting equation represent the assets of the company are equal to the liabilities and equity of the company. In can be represented as follow, Assets = Liabilities + Equity Assets: Assets are the resources that a company needs to run the business. An asset is economic resources of the company. Liabilities: Liabilities are generally the amount owned by the company from lenders, suppliers, or bank. Liabilities are the burden on the company that they have to pay to others. Equity: The company needs finance to run the business. Equity is one of the method through which the company raise the capital. To explain: The example of each given effect of accounting equation.

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Answer 1

Question

Chapter 1, Problem 12E

To determine

Accounting Equation:

The assets, liabilities and equity relation, are known as the accounting equation. Assets are the resources of company and that increase as business expand whereas liabilities are the burden on company that has to pay in future; Equity means the owner claim on assets. An accounting equation represent the assets of the company are equal to the liabilities and equity of the company.

In can be represented as follow,

$Assets = Liabilities + Equity$

Assets:

Assets are the resources that a company needs to run the business. An asset is economic resources of the company.

Liabilities:

Liabilities are generally the amount owned by the company from lenders, suppliers, or bank. Liabilities are the burden on the company that they have to pay to others.

Equity:

The company needs finance to run the business. Equity is one of the method through which the company raise the capital.

To explain: The example of each given effect of accounting equation.

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Answer 2

Question

Chapter 1, Problem 12E

To determine

Accounting Equation:

The assets, liabilities and equity relation, are known as the accounting equation. Assets are the resources of company and that increase as business expand whereas liabilities are the burden on company that has to pay in future; Equity means the owner claim on assets. An accounting equation represent the assets of the company are equal to the liabilities and equity of the company.

In can be represented as follow,

$Assets = Liabilities + Equity$

Assets:

Assets are the resources that a company needs to run the business. An asset is economic resources of the company.

Liabilities:

Liabilities are generally the amount owned by the company from lenders, suppliers, or bank. Liabilities are the burden on the company that they have to pay to others.

Equity:

The company needs finance to run the business. Equity is one of the method through which the company raise the capital.

To explain: The example of each given effect of accounting equation.

Expert Solution & Answer

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Check out a sample textbook solution

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Answer 3

Question

Chapter 1, Problem 12E

To determine

Accounting Equation:

The assets, liabilities and equity relation, are known as the accounting equation. Assets are the resources of company and that increase as business expand whereas liabilities are the burden on company that has to pay in future; Equity means the owner claim on assets. An accounting equation represent the assets of the company are equal to the liabilities and equity of the company.

In can be represented as follow,

$Assets = Liabilities + Equity$

Assets:

Assets are the resources that a company needs to run the business. An asset is economic resources of the company.

Liabilities:

Liabilities are generally the amount owned by the company from lenders, suppliers, or bank. Liabilities are the burden on the company that they have to pay to others.

Equity:

The company needs finance to run the business. Equity is one of the method through which the company raise the capital.

To explain: The example of each given effect of accounting equation.

Expert Solution & Answer

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See solution

Answer 4

Question

Chapter 1, Problem 12E

To determine

Accounting Equation:

The assets, liabilities and equity relation, are known as the accounting equation. Assets are the resources of company and that increase as business expand whereas liabilities are the burden on company that has to pay in future; Equity means the owner claim on assets. An accounting equation represent the assets of the company are equal to the liabilities and equity of the company.

In can be represented as follow,

$Assets = Liabilities + Equity$

Assets:

Assets are the resources that a company needs to run the business. An asset is economic resources of the company.

Liabilities:

Liabilities are generally the amount owned by the company from lenders, suppliers, or bank. Liabilities are the burden on the company that they have to pay to others.

Equity:

The company needs finance to run the business. Equity is one of the method through which the company raise the capital.

To explain: The example of each given effect of accounting equation.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 5

Chapter 1, Problem 12E

To determine

Accounting Equation:

The assets, liabilities and equity relation, are known as the accounting equation. Assets are the resources of company and that increase as business expand whereas liabilities are the burden on company that has to pay in future; Equity means the owner claim on assets. An accounting equation represent the assets of the company are equal to the liabilities and equity of the company.

In can be represented as follow,

$Assets = Liabilities + Equity$

Assets:

Assets are the resources that a company needs to run the business. An asset is economic resources of the company.

Liabilities:

Liabilities are generally the amount owned by the company from lenders, suppliers, or bank. Liabilities are the burden on the company that they have to pay to others.

Equity:

The company needs finance to run the business. Equity is one of the method through which the company raise the capital.

To explain: The example of each given effect of accounting equation.

Answer 6

Chapter 1, Problem 12E

To determine

Accounting Equation:

The assets, liabilities and equity relation, are known as the accounting equation. Assets are the resources of company and that increase as business expand whereas liabilities are the burden on company that has to pay in future; Equity means the owner claim on assets. An accounting equation represent the assets of the company are equal to the liabilities and equity of the company.

In can be represented as follow,

$Assets = Liabilities + Equity$

Assets:

Assets are the resources that a company needs to run the business. An asset is economic resources of the company.

Liabilities:

Liabilities are generally the amount owned by the company from lenders, suppliers, or bank. Liabilities are the burden on the company that they have to pay to others.

Equity:

The company needs finance to run the business. Equity is one of the method through which the company raise the capital.

To explain: The example of each given effect of accounting equation.

Answer 7

Chapter 1, Problem 12E

To determine

Accounting Equation:

The assets, liabilities and equity relation, are known as the accounting equation. Assets are the resources of company and that increase as business expand whereas liabilities are the burden on company that has to pay in future; Equity means the owner claim on assets. An accounting equation represent the assets of the company are equal to the liabilities and equity of the company.

In can be represented as follow,

$Assets = Liabilities + Equity$

Assets:

Assets are the resources that a company needs to run the business. An asset is economic resources of the company.

Liabilities:

Liabilities are generally the amount owned by the company from lenders, suppliers, or bank. Liabilities are the burden on the company that they have to pay to others.

Equity:

The company needs finance to run the business. Equity is one of the method through which the company raise the capital.

To explain: The example of each given effect of accounting equation.

Answer 8

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Answer 11

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