Page 1 - Ch-5 MM
P. 1

ACCOUNTING EQUATION











                                                                          TOTAL ASSETS = CAPITAL + OUTSIDER LIABILITY












                                             INCOME ADDED
                                                TO CAPITAL
                                                                                       ACCOUNTING                             EXPENSES
                                                                                                                         DEDUCTED FROM
                                                                                         EQUATION                              CAPITAL
















                                                                     CAPITAL = TOTAL ASSETS  -

                                                                           OUTSIDER LIABILITY
   1