Question

From the following information, calculate capital at the beginning.

$\begin{array}{cc}\text{Items}& \text{Amt(Rs)}\\ \text{Capital at the End of the Year}& 4,00,000\\ \text{Drawings Made During the Year}& 60,000\\ \text{Fresh Capital Introduced During the Year}& 1,00,000\\ \text{Profit of the Current Year}& 80,000\end{array}$

Answer 1

$\text{Statement Showing Capital}\text{at the beginning of the year}\begin{array}{cc}\text{Particulars}& \text{Amt(Rs)}\\ \text{Capital at the End of the Year}& 4,00,000\\ \text{(+)Drawings Made During the Year}& 60,000\\ & \overline{4,60,000}\\ \text{(-)Fresh Capital Introduced During the Year}& 1,00,000\\ & \overline{3,60,000}\\ \text{(-) Profit of the Current Year}& 80,000\\ \text{Capital in the Beginning of the Year}& \overline{\underset{–}{\underset{–}{2,80,000}}}\end{array}$