The expanded accounting equation builds upon the basic accounting equation's use of assets, liabilities and equity by incorporating additional components such as revenues, expenses and withdrawals.

The expanded accounting equation is derived from the accounting equation and illustrates the different components of stockholder equity in a company.

How Does a Loan Affect an Accounting Equation?. Businesses use economic resources called assets in order to set up, start up, and run their standard operations. In order to acquire these resources ...

How Does Dividends Accounting Affect the Equation? While the accounting equation is straightforward, many different accounts and funds can comprise assets and liabilities at a business.