Question

Shruti maintains her books of account from Incomplete Records. Her books provide the following information:

		1st April, 2015 (₹)	31st March, 2016 (₹)
Cash		1,200	1,600
Bills Receivable		…	2,400
Debtors		16,800	27,200
Stock		22,400	24,400
Investments		…	8,000
Furniture		7,500	8,000
Creditors		14,900	11,600

She withdrew ₹ 500 per month for personal expenses. She sold her Investments of ₹ 16,000 at 5% premium and introduced the amount into business.
You are required to prepare a Statement of Profit or Loss for the year ending 31st March, 2016.

Answer 1

Statement of Profit/Loss
Particulars	Amount (₹)
Closing Capital	60,000
Less: Opening Capital	(33,000)
Less: Additional Capital	(16,800)
Add: Drawings	6,000
Profit for the Year	16,200

Working Notes:

Opening Statement of Affairs as on April 01, 2015
Dr.			Cr.
Liabilities	Amount (₹)	Assets	Amount (₹)
Creditors	14,900	Cash	1,200
Capital (Bal. Fig.)	33,000	Debtors	16,800
		Stock	22,400
		Furniture	7,500
	47,900		47,900

Closing Statement of Affairs
Dr.			Cr.
Liabilities	Amount Rs	Assets	Amount Rs
Creditors	11,600	Cash	1,600
Capital (Bal. Fig.)	60,000	Bills Receivable	2,400
		Debtors	27,200
		Stock	24,400
		Investments	8,000
		Furniture	8,000
	71,600		71,600