Question

Sameer had cash sales of Rs. 180000 and credit sales of Rs. 120000
during the financial year 2019-20. His expenses for the year were Rs.
140000 out of which Rs.60000 is still to be paid. Find out Sameer’s
income for or 2019-20 if he is following the cash basis of accounting.

Answer 1

Answer: Rs1,00,000

Step-by-step explanation: Revenue-1,80,000(only cash transactions are recorded in cash basis)

Expenses: Rs 1,40,000(total expenses)-60,000(expenses to be paid)=Rs.80,000

income= revenue - expenses

= 180000-80000

=Rs 1,00,000

Answer 2

Step-by-step explanation:

Sameer had cash sales of Rs. 180000 and credit sales of Rs. 120000

during the financial year 2019-20. His expenses for the year were Rs.

140000 out of which Rs.60000 is still to be paid. Find out Sameer’s

income for or 2019-20 if he is following the cash basis of accounting.