Question

On 1st april,2013 Rakesh started cloth business with ₹ 1,20,000 and took loan of ₹ 50,000 from Ramesh for new business. During the year, he earned a profit of ₹ 20,000 , introduced further capital of ₹ 30,000 and withdrew ₹ 10,000 . He repaid ₹ 10,000 to Ramesh on 31st October 2013. On 31st March 2014, the total assets were ₹ 2,30,000 and total outside liabilities were ₹________.



Right answer is 40,000 ₹.
Explain how ??

Answer 1

rakesh took 50000 from ramesh on 1 april 2013 n repaid only 10000 balance (50000-10000) = 40000