What is the basic accounting equation


Accounting Problem

• What is the basic accounting equation? Give an example of how a business transaction would effect the basic accounting equation.

• Give an example of a journal entry using at least two accounts.

• Give one example each of asset, liability, equity, revenue and expense accounts and the normal balance of debit or credit.

• Give an example that shows the basic steps in the recording process.

• What is the purpose of a trial balance?

• Define cash activities as operating, investing, or financing and give one example of each.

The response should include a reference list. Using one-inch margins, Times New Roman 12 pnt font, double-space and APA style of writing and citations.

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Accounting Basics: What is the basic accounting equation
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