CameraIcon
CameraIcon
SearchIcon
MyQuestionIcon


Question

Amount invested in business by the proprietor is  ___________ .


A
Drawings
loader
B
Capital
loader
C
Assets
loader
D
Cash
loader

Solution

The correct option is B Capital
Amount invested by the owner in the firm is known as capital. It may be brought in the form of cash or assets by the owner for the business entity capital as an obligation and a claim on the assets of business. It is, therefore, shown as capital on the liabilities side of the balance sheet. In other words, the capital means the interest of owner or owners in the assets of the business firm.

Principles and Practice of Accounting

Suggest Corrections
thumbs-up
 
0


similar_icon
Similar questions
View More


similar_icon
People also searched for
View More



footer-image