Indicate how accounting equation vis affected …
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Yogita Ingle 5 years, 1 month ago
Every Business transaction which is to be considered for accounting i.e. every Accounting transaction, has its effect on the fundamental accounting equation.
Each transaction alters the expressions forming the equation in such a way that the accounting equation is satisfied after every such alteration.
The values forming the various terms of the expressions within the equation are altered in such a way that the basic fact, rule or equation, Capital + Liabilities = Assets is always satisfied.
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