LESSON 01 / 3
The business has two sides
The school accounting equation is Assets = Equity + Liabilities. It links what the business controls to the owners’ interest and amounts owed.
For these introductory examples, bank, equipment and stock are assets; a loan is a liability; the owner’s capital contributes to equity.
↳ WORKED EXAMPLE
Assets R12 000 = Equity R8 000 + Liabilities R4 000.
Make it yours. Try this.
A small practice snapshot, not a formal assessment or predicted school mark.