Mr. Muneesh maintains his books of accounts from incomplete records. His
books provide the information :
[tex]
\begin{tabular}{c c c}\\
\begin{center}\\
& April 01, 2016 & March 31, 2017 \\
& Rs. & Rs. \\
Cash & 1,200 & 1,600 \\
Bills receivable & - & 2,400 \\
Debtors & 16,800 & 27,200 \\
Stock & 22,400 & 24,400 \\
Investment & - & 8,000 \\
Furniture & 7,500 & 8,000 \\
Creditors & 14,000 & 15,200 \\
\end{center}
\end{tabular}
[/tex]
He withdrew Rs. 300 per month for personal expenses. He sold his investment
of Rs. 16,000 at 2
premium and introduced that amount into business.
Answers
Statement of Profit and Loss as on 31.3.2017
Explanation:
In the Books of Mr.Munish
Statement of Affairs
as on January 2016
Liabilities Amount(Rs.) Assets Amount(Rs.)
Creditors 14000 Cash 1200
Capital(bal.) 33900 Debtors 16800
Stock 22400
Furniture 7500
47900 47900
Statement of Affairs
as on 31 December 2016
Liabilities Amount(Rs.) Assets Amount(Rs.)
Creditors 15200 Cash 1600
Capital(bal.) 56400 Bills Receivable 2400
Debtors 27200
Stock 24400
Investment 8000
Furniture 8000
71600 71600
Statement of Profit and Loss
as on 31.3.2017
Particulars Amount(Rs.)
Capital as on 31.3.2016 56400
Add: Drawings during the year 3600
Less: Capital as on 1.1.2016 (33900)
Less: Additional Capital Introduced (16320)
Profits earned during the year 9780
*Working Notes:
Additional Capital Introduced =
= Rs.16320