Calculate the amount of cash, if total assets (except cash) = ₹ 60,0

1.	Calculate the amount of cash, if total assets (except cash) = ₹ 60,000; total liabilities = ₹ 50,000 and capital = ₹ 40,000.
Answer» Accounting equation is A = C + L ∴ Cash + Other Assets = Capital + Liabilities ∴ Cash + 60,000 = 40,000 + 50,000 ∴ Cash + 60,000 = 90,000 ∴ Cash = 90,000-60,000 = 30,000 ∴ Amount of cash is ₹ 30,000.

Calculate the amount of cash, if total assets (except cash) = ₹ 60,000; total liabilities = ₹ 50,000 and capital = ₹ 40,000.

Answer»

Accounting equation is A = C + L

∴ Cash + Other Assets = Capital + Liabilities

∴ Cash + 60,000 = 40,000 + 50,000

∴ Cash + 60,000 = 90,000

∴ Cash = 90,000-60,000 = 30,000

∴ Amount of cash is ₹ 30,000.