Gurman Started business with cash ₹ 20,000. Prepare an Accounting Equation and Balance Sheet on the following basis

Prepare an Accounting Equation and Balance Sheet on the following basis:

(i) Gurman Started business with cash ₹ 20,000.

(ii) He purchased furniture for ₹ 2,000.

(iii) He paid rent of ₹ 200.

(iv) He purchased goods on credit ₹ 3,000.

(v) He sold goods (cost price ₹ 2,000) for ₹ 5,000 on cash.

[Assets: Cash ₹ 22,800 + Furniture ₹ 2,000 + Stock ₹ 1,000 = Liabilities: Creditor ₹ 3,000 + Capital: ₹ 22,800.]