Kamal started business and invests Rs. 50000 on 1st April 2010. On31st March 2011, his assets are Rs.65000 and liabilities Rs.6000. Kamal withdrew from his business Rs. 3000 for personal use. Find out the profit

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Solution

Dear Student,

Lets prepare a memorandum Balance sheet to find out the value of Profit.

Liabilities Amount (Rs) Assets Amount (Rs)

Capital Assets 65,000

Opening Capital 50,000

Less: Drawings (3,000)

Add: Profit (Balancing figure) 12,000 59,000

Liabilities 6,000

65,000 65,000

Thus, Amount of Profit is Rs 12,000

Regards,

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Liabilities	Amount (Rs)	Assets	Amount (Rs)
Capital		Assets	65,000
Opening Capital 50,000
Less: Drawings (3,000)
Add: Profit (Balancing figure) 12,000	59,000
Liabilities	6,000
	65,000		65,000

Kamal started business and invests Rs. 50000 on 1st April 2010. On31st March 2011, his assets are Rs.65000 and liabilities Rs.6000. Kamal withdrew from his business Rs. 3000 for personal use. Find out the profit ​

Kamal started business and invests Rs. 50000 on 1st April 2010. On31st March 2011, his assets are Rs.65000 and liabilities Rs.6000. Kamal withdrew from his business Rs. 3000 for personal use. Find out the profit