T-Accounts I need to know how to solve T-Account Equations. I am providing some examples. If you could give me the answer to the missing amount and also tell me how you arrived at that amount it will help solve future equations.
This is a Cash Account-Debit
I need the beginning balance.
The Debits are 2,500 4,000 3,400
The Credits are 4,500 2,200 3,500
The ending Debit Balance is 9,800
Example 2 Liability AP-Credit
I need an unknown amount for the credit side.
The Beginning Credit Balance is 3,000
There is one known credit for 3,400
The debits are 1,500
And the Ending Credit Balance is 6,700
Example 3 Inventory (Asset)-DR
I need the ending balance
Beginning Balance is 40,000
Debits are 5,000
Credits are 8,000 and 25,000
What is the Ending Balance?
Example 4 Taxes Payable Liability (CR)
I need an unknown Debit amount.
Beginning Balance is 30,000
The credits are 25,000 and 3,500
The Ending Balance is 40,500
Part-1. Begining balance f cash account is missing. The cash account is having a debit balance always. The formula for Cash account is as under:
Ending balance of Cash Account = Begining Balance of cash account + All debits - All credits
Ending Balance of cash = 9800
All debits total = 2500+4000+3400= 9900
All Credits total =4500+2200+3500= 10200
Therefore, as per above formula equation:
Begining Balance of cash account = Ending balance + All credits -All debits = 9800+10200-9900 = 10100
Sorry about that. What wasn’t helpful?