Purchase Solution

Describe a transaction that would have the required effect on the elements of the accounting equation

Not what you're looking for?

Ask Custom Question

On the list below, describe a transaction that would have the required effect on the elements of the accounting equation.

1. increase one asset and decrease another asset.
2. Decrease an asset and decrease a liability.
3. Increase an asset and increase a liability.

Purchase this Solution
Solution Summary

Dear student I am providing you complete description of Accounting Equations, Normal balances of different categories of accounts and effect of selected transactions as required by you.Please find this complete description in nine power point slides attached herewith.I have not limited the answer to the specific equations and the transaction effect but provided you basic concepts so as to enable you to understand it in a real perspective.

Solution Preview

Dear student I am providing you complete description of Accounting Equations, Normal balances of different ...

Purchase this Solution
Free BrainMass Quizzes
Team Development Strategies

This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.

Transformational Leadership

This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.

Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.

Basic Social Media Concepts

The quiz will test your knowledge on basic social media concepts.

Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

View More Free Quizzes
Related BrainMass Solutions

  • Accounting Equation

    179398 Accounting Equation Provide an example of a transaction that would describe the effect of the accounting equation. The Transaction would decrease one liability account and increase another liability account.

  • Uncollectible accounts using percent of revenue method

    Show the effect of each transaction on the elements of the financial statements, using a horizontal statements model like the one shown here. Use + for increase, - for decrease, and NA for not affected.

  • Finding the Accounting Equation

    This equation remains in balance for each transaction and holds at all times over the life of the business. Any accounting transaction has an equal effect on both sides of the equation or offsetting effect on the same side of the equation.

  • Fund Accounting and the Fundamental Accounting Equation

    However, it also increases another assets account, Short-Term Accounts Receivable, which debits assets by the same $20,000. Therefore, there is a net effect of 0 on the asset side of the equation.

  • Effect of business transaction on the accounting equation

    88633 Accounting: Effect of business transaction on the accounting equation For each of the following items, give an example of a business transaction that has the described effect on the accounting equation: Increase an asset and increase a liability

  • Accounting Environment and Comparability of Accounts

    For comparability the accounting principles have to be the same. Those countries that use the GAAP have a higher degree of comparability among companies . B. What is the accounting equation? What does it tell you? Why does it have to balance?

  • explain each step of the accounting cycle

    84640 Accounting Cycles Choose two companies and in 1 - 2 paragraphs explain each step of the accounting cycle for each company. Describe at least one transaction that would occur at each company in each of these steps.

  • Business Transaction and its effect on accounting equation

    97279 Business Transaction and its effect on accounting equation For each of the following items, give an example of a business transaction that has the described effect on the accounting equation: Increase an asset and increase a liability.

  • Transaction analysis

    Required: For each of the events a through e, perform transaction analysis and indicate the account, amount, and direction of the effect (_ for increase and _ for decrease) on the accounting equation.

View More Related Solutions