Question

Following are the assets and liabilities of Mr. Avinash. Calculate his capital like cash Rs.50,000, Bank Rs.1 lac, Debtors Rs.40000, Plant & Machinery Rs. 150000, Furniture Rs.50,000, Land Rs. 4 lac, Creditors Rs. 45000, bills payable Rs.48000, bills Receivable Rs.12000.​

Answer 1

Explanation:

Capital =

Cash + Bank + Debtors + Plant & Machinery + Furniture + Bills Receivable

- (Creditors + Bills Payable)

=

50000 + 40000 + 150000 + 50000 + 400000 + 12000 - (45000 + 48000)

= 702000 - 93000

= Rs. 609000 .