Question

Capital at the beginning * 1,40,000; Revenue during the year * 40,000; Expenses during the year 35,000; Creditors 1,20,000; Bank Overdraft 12,000; Drawings * 10,000; Bills Payable 22,000 and Loan from Bank 1,00,000. Calculate Total Equity. ​

Answer 1

140000(capital) + 40000(revenue ) + 100000(loan)=280000
35000(expenses] + 120000( creditors) + 12000(bank overdraft (liability)) + 10000(drawings) + 22000(bills payable)=199000
280000(profit or money right now ) - 199000(expense and liability) =81000