Income for the year is Rs 20,000 and expense for the year is Rs 10,000. What will be the balance of income and expenditure account?

Liability

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Assets

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Owner's equity

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None of these

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Solution

The correct option is B
Assets

Surplus = Income - Expenditure
= 20,000 - 10,000
= Rs 10,000

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Income for the year is Rs 20,000 and expense for the year is Rs 10,000. What will be the balance of income and expenditure account?

The correct option is B Assets Surplus = Income - Expenditure = 20,000 - 10,000 = Rs 10,000

The correct option is B
Assets

Surplus = Income - Expenditure
= 20,000 - 10,000
= Rs 10,000