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Question

The following information is given below prepare the Statement of Profit or Loss.
Items (Rs)
Capital at the end of the year5,00,000
Capital in the beginning of the year7,50,000
Drawings made during the period3,75,000
Additional Capital introduced50,000

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Solution

Answer :
Statement of Profit or Loss
for the year ended
ParticularsAmt. (Rs)
Capital at the end of the year5,00,000
(+) Drawings during the year3,75,000
8,75,000
(-) Additional Capital Introduced50,000
8,25,000
(-) Capital at the Beginning of the year7,50,000
Profit made during the year (b/f)75,000


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