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Incomplete records

Accounting equation

If a business does not maintain its accounting records in double-entry form, with the
production of a trial balance, the preparation of the statement of profit or loss and
statement of financial position may require some figures to be ascertained from other
records and information.

The accounting equation could be usefully employed in this situation:

Assets Liabilities Equity

Illustrations and further practice

Now try question TYU 1 from Chapter 18 of the Study Text.

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