Question

Mohan maintains books on Single Entry System. He gives you the following information:

	₹
Capital on 1st April, 2017	15,200
Capital on 31st March, 2018	16,900
Drawings made during the year	4,800
Capital introduced on 1st August, 2017	2,000

You are required to calculat the Profit or Loss made by Mohan.

Answer 1

Statement of Profit or Loss
Particulars	Amount (Rs)
Capital as on March 31, 2018	16,900
Add: Drawings	4,800
	21,700
Less: Addition Capital Introduced	(2,000)
Adjusted Capital as on March 31, 2018	19,700
Less: Capital as on April 01, 2017	(15,200)
Profit made during the year 2017-18	4,500