Question

Anshul started a business on 1st April 2019 with a capital of 20,00.000 & loan from Amit - 1,50,000. During the year ne introduced additional capital of 4,50,000 & had withdrawn 2,50,000 & drawings were 2,00,000 for personal use. On 31 March,20 his assets were 40,50,000, Creditors 1,40,000 & Profit from sale of fixed assets was 1,25,000 & loss on speculation was 1,00,000. Find out Closing Capital & Profit or loss of the financial year​

Answer 1

$\huge\pink{\mid{\underline{\overline{Hey\:Varsha}}\mid}}$

Closing Capital =

Closing Assets - Closing Liailities

(i.e.,Amit's Loan)

= ₹ 40,50,000 - ₹150,000 = ₹39,00,000

Profits = closing Capital + Darwing - Additional Capital- Opening Capital

= ₹ 39,00,000 + ₹2,00,000 -

₹ 4,50,000 - ₹ 20,00,000 = ₹16,50,000.

$\huge\blue{\mid{\underline{\overline{Thanku✨}}\mid}}$