An accounting equation is a statement showing the equality between debits and credits or assets and liabilities including capital. so,
assets=equities
The resources or properties owned by a business are assets.But equity represents the total claims against assets of the business.Equities relates to creditors equity and owners equity.Creditors equity or liability is the debts of the business to outsiders .But owners equity or capital is the owner's claim against business.
HENCE,
ASSETS=LIABILITIES + CAPITAL(ie:-A=L+C)
THE ABOVE EQUATION CAN BE ALSO BE EXPRESSED AS GIVEN BELOW.
ASSETS - LIABILITIES=CAPITAL
ASSETS - CAPITAL =LIABILITIES
ASSETS - CAPITAL - LIABILITIES=ZERO
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