[IMG]http://photos1.blogger.com/x/blogger/1380/1958/400/116432/quote.gif[/IMG] This blog is a record of my journey around the sun. This is a place I will post my many ideas and things I find of interest.
[B]The Accounting Equation[/B] The account equation simply put [B]ASSETS = LIABILITIES + OWNERS EQUITY[/B] Assets = what the business owns Liabilities=What the business owes Equity= The owners investment in the business. This lesson follows on from the double entry you learnt in lesson one, for every debit there must be a corresponding credit entry in your books of account. The accounting equation must always ...