1. Chapter 2- Starting a Proprietorship
By: Ms. Kaelke

2. The Business
Service Business
Proprietorship

3. Assets = Liabilities + Owner’s Equity
Accounting Equation
Assets
Liability
Owner’s Equity
Assets = Liabilities + Owner’s Equity
A = L + OE

4. How Business Activities Change the Accounting Equation
Transaction
Unit of Measure
Account
Account title
Account balance
Capital

5. Received Cash from Owner as an Investment
Transaction 1: August 1, 2010…Received cash from owner as an investment, $10,000
Assets = Liabilities + Owner’s Equity
+10,000 = ,000