ast are hundreds als for them should liabilities worldwide could be more accounts payable just means that we bought something on credit bought something we haven't paid in cash reliability some point we will of over transaction shows so what's in store pizza business as part of its we ask owners have twenty thousand dollars treat this to get a start so twenty thousand dollars in the czech soldiers Winehouse.
I'm weekend reliability or you recognize that actually are capital or are capital so this is your money as you bring in the business you have twenty thousand claim to the business now this is really dollar else's 20,000 you have claims because cash is over here see the equations and now guard cash and how much you have claims now now it's by ten thousand dollars a supplies.
okay so we need some different test supplies for our business we just purchased an hour will or so your 10,000 supplies now how can we get a problem on tell you or a task top just no spots this case said goss applies because we set a chronic with spike solar he ozone ten thousand dollars for those parts solo are assets tall 30,000 and then on this line equation our liabilities plus our equity total 30,000 you see everything past battles is your transaction doesn't balance.
you have not done right great see very careful University transaction let's say that payoff har supplies so you know bill and he said you already know four thousand dollars won't happen is cash will be out for awesome
okay happens to our well hey are for house so we all 10,000 more me all since house so you can see here
30 minus force about 26,000 over here and over here we got 6,000 last one 26,000 missile because our was no longer 10,000 you combine the two.
it's only six thousand okay let's say the soul thousand dollars worth pizzas day the company came in there the party by thousand dollars peace and it hits cash sold out increase cashier now one on this side to be to increase hopefully recognize that assets sale as run so that increases the proper dinner so over here borough with power involves now know it got ready is heart that we okay testing this is your business is your business so you have sales who say all min Lee Rd.
they're yours your sales so thousand-dollar really belongs to you so in reality you're Apple account eventually is going to be 21,000 right now we're still on track itself because we won't know how much sales de World War wholesale well so far thousand dollars at let's say that you pay are employing two hundred dollars okay here wage of decrease expense with the trees are capsule to dollars in expenses and rescue me out decreased dollars in cash.
know is a retired your his actions balance written balances out so this is just a quick example just certain transactions once again at hospitals over water I'm transaction usually the transaction your brain and wondering how are they going to fit on our time wage. Thanks for visiting..
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