Question

Given jan. 1 dec. 31 assets 30,000 liabilities 13,000 capital 16,500 withdrawals by owner during the year are rs. 4,000. what is the amount of capital on jan.1?

Answer 1

opening capital=closing +drawings=16500+4000=20500

Answer 2

In this question this is given that Cl. assets are of rs 30000 and co liability is of rs 13000

so closing capital =Cl assets- Cl liability
16500 not = 30000-13000
As there is difference 0f rs 500 in Cl capital . if we take Cl capital 17000 then answer will be
17000 + 4000= 21000= opening capital.