Question

The liabilities of a firm are Rs. 3,000; the capital of the proprietor is Rs. 7,000. The total assets are __________.

• A. Rs. 7,000
• B. Rs. 10,000
• C. Rs. 4,000
• D. Rs. 5,000

Answer 1

Answer: (B)

Rs. 10,000

Total Assets = Total liabilities

= Capital + Outside liabilities

= 7,000 + 3,000

= 10,000.

Hence, Total Assets are 10,000.