Discuss the following:
The accounting equation is an expression of the relationship between the three accounting equation elements (Assets, Liabilities, and Equity). What eventswould result in the following:
(1) total assets and total equity increases
(2) total assets and total liabilities decrease
(3) total assets and total liabilities increase
Transaction analysis is the first step in the accounting process. Learning how to interpret and translate transactions is crucial. Discuss your strategy to learning how to analyze and understand the effect of business transactions.
Review the youtube videos:
Accounting Equation - Technical Explanation
The Accounting Equation - Conceptual Analogy
Transaction Analysis - Concept.