Accounting Equation Flashcards
1
Q
Basic accounting equation
A
Assets=Capital+Liabilities
2
Q
Accounting Equation(extension profit)
A
P=i+d-c
p=profit
i=increase in net assets(current period)
d=drawings(current period)
c=capital (current period)
3
Q
Accouting Equation extension
A
Asset=Capital Introduced+(Earned profit-Drawings)+Liabilities
