a trader be ascertained with the help of a statement of affairs? . ‘Is it possible to prepare the profit and loss account and the balance sheet from the incomplete book of accounts kept by a trader’? Do you agree?
Explain. . Explain how the following may be ascertained from incomplete records: (a) Opening capital and closing capital (b) Credit sales and credit purchases (c) Payments to creditors and collection from debtors (d) Closing balance of cash. Numerical Questions Ascertainment of profit or loss by statement of affairs method .
Following information is given below prepare the statement of profit or loss: Capital at the end of the year , , Capital in the beginning of the year , , Drawings made during the period , , Additional Capital introduced [ Ans : Profit : Rs. , ]. . Manveer started his business on January , with a capital of Rs.
, , . On December , his position was as under: , , Plant , Land and Building , , He owned Rs. , from his friend Susheel on that date. He withdrew Rs.
, per month for his household purposes. Ascertain his profit or loss for this year ended December , [ Ans : Profit : Rs. , ]. .
From the information given below ascertain the profit for the year : Capital at the beginning of the year , Additional capital introduced during the year , , Sundry debtors , Business premises , Machinery , Sundry creditors , Drawings made during the year , [ Ans : Profit : Rs. , ]. . From the following information, Calculate Capital at the beginning : Capital at the end of the year , , Drawings made during the year , Fresh Capital introduce during the year , , Profit of the current year [ Ans : Capital at thé beginning of the year : Rs.
, , ]. . Following information is given below : calculate the closing capital Jan. , Dec.
, Bills payable — Loan — , [ Ans : Closing capital : Rs. , ]. Calculation of profit or loss and ascertainment of statement of affairs at the