Question

Explain the two methods of ascertaining profit when accounting records are incomplete

Answer 1

Methods of finding profit or loss from incomplete records.
1) Statement of affairs method
2) conversion into double-entry method.

Statement of affairs method compares the beginning capital of the period and the ending capital of the period. The difference would be the profit or loss. 

Beginning Capital less than ending capital, there's profit
Beginning capital greater than ending capital, there's loss.

Conversion into double-entry method
Go over the business transactions and identify the entries that should have been involved and properly document these entries. Use accounting ratios to get the missing information based on the existing data.