132k views
3 votes
What is the answer in effects in accounting equation?

Purchased a furniture RM13,000 by cheque​

User Gummmibear
by
6.8k points

1 Answer

6 votes

Answer:

No effect

Step-by-step explanation:

The journal entry to record this give transaction is shown below:

Furniture Dr RM13,000

To Bank RM 13,000

(Being the furniture purchased by cheque is recorded)

For recording this we debited the furniture as it increased the asset and credited the bank as it decreased the assets

Therefore there is no effect in the accounting equation as the increase and decreased in done in asset side only

User Jins Peter
by
6.7k points