Question

​X has following assets and liabilities as on 31st March, 2013. Ascertain his capital.
​Cash ₹ 25,000; Bank ₹ 47,500; Debtors ₹ 18,000; Creditors ₹ 22,000; Plant and Machinery ₹ 80,000;
​Building ₹ 2,00,000; Furniture ₹ 24,000; Bills Receivable ₹ 56,500; Bills Payable ₹ 23,500.

Answer 1

Answer:

Capital = ₹4,05,500

Explanation:

Total assets = Cash+Bank+Debtors+Plant & machinery+Building+furniture+Bills receivable.

₹25,000+₹47,500+₹18,000+₹80,000+₹2,00,000+₹24,000+₹56,500.

So, Total assets = ₹4,51,000

Outside Liabilities = Creditors+Bills payable.

= ₹22,000+₹23,500

So, Outside Liabilities = ₹45,500

Hence,

Capital employed = Total assets - Outside Liability

= ₹4,51,000 - ₹45,500

= ₹4,05,500

Answer 2

Answer:

total assests = cash+bank+debtor+plant and machinery+building+furniture+bill receivable

total assests = 25,000+4,7500+18,000+80,000+2,00,000+24,000+56,000

= 4,51,000

outside liabilities = creditors + bill payable

= 22,000+23,000

= 45,500

capital employement = total assests - outside liabilities

= 4,51,000-45,500

=4,05,500