increase in capital at the end of the year represents?
Answers
Answer:
A company achieves capital maintenance when the amount of its capital at the end of a period is unchanged from that at the beginning of the period. Any excess amount above this represents the company's profit.
increase in capital at the end of the year represents?
The correct answer is :
increase in capital at the end of the year represents __Profit__.
Explanation :
Profit refers to the increase in capital of a company. Profit is the amount of a company which indicates the increase in capital of a company during the beginning of the financial year and the end of the financial year.
The main objective of every company is to earn profit. This is the principle of business. When there is an increase in the capital of the company and there is an increase in its capital at the end of the financial year, it is called the total gross profit of the company.
For example, if the total capital of a company is 1 lakh rupees at the beginning of the financial year and the value of its capital at the end of the financial year is one lakh ten thousand then ten thousand becomes the profit of that company.
#SPJ3