Question

Mr. Kapil does not keep proper records of his business and he provided the following information.

You are required to prepare a statement showing the profit or loss for the year 2011-12.
Opening Capital (01-04-2011) , 50,000

Closing Capital (31-03-2012) , 1,00,000

Additional capital introduced (2011-12) , 20,000

Drawings made during the year (2011-12) , 40,000

Answer 1

Statement of Profit & Loss

$\begin{array}{cc}\text{Particulars}& \text{Amount}\\ \text{Closing Capital (31-03-2012)}& \text{1,00,000}\\ \text{Add : Drawings made during the year (2011-12)}& 40,000\\ & \underset{–}{}\\ & \text{1,40,000}\\ \text{Less : Additional capital introduced (2011-12)}& \text{20,000}\\ & \underset{–}{}\\ & \text{1,20,000}\\ \text{Less : Opening Capital (01-04-2011)}& \text{50,000}\\ \text{Profit made for the year 2011-12.}& \text{70,000}\end{array}$