Question

how is the closing capital calculated under single entry system​

Answer 1

Answer:

Explanation:It is prepared under the single entry system in order to find out the amount of opening or closing capital of the business. According to net worth method, profit or loss of the business is determined by making comparison between the capitals of two dates of a period. Statement of affairs is prepared as balance sheet.

Answer 2

Answer:

Explanation:

Under single entry system closing capital is calculated by deducting the total closing value of liabilities from the total closing value of assets.