Question

Ascertain the Class of Account of the following items :

(i) Returns outward
(ii) Carriage inward
(iv) Debtors
(v) Creditors
(iii) Outstanding salary
(vi) Outstanding wages​

Answer 1

Answer:

Find out the Total Liability (internal as well as external) at the end of the year if :

(i) Proprietor's equity at the beginning of the year * 80.000

(ii) Creditors' equity at the beginning of the year 40,000

(iii) Proprietor's withdrawal during the year 15,000

(iv) Net profit during the year 25,000

(v) Borrowed from Allahabad Bank during the year 250,000