Prove that accounting equation is satisfied in all the following cases :
(a) Commenced business with cash Rs. 50,000.
(b) Paid rent Rs.4,000 including Rs.1,000 as advance.
(c ) Bought goods for cash Rs.30,000 and on credit Rs. 20,000.
(d) Sold the goods bought on credit for Rs.25,000.
(e) Purchased furniture worth Rs.10,000 for office use and for Rs.5,000 for domestic use.

Explanation

Assets : Cash Rs.26,000 + Prepaid Exp. Rs.1,000 + Stock Rs.30,000 + Furniture Rs.10,000 = Liabilities : Creditors Rs.20,000 + Capital Rs.47,000.