Question 21:
Pravav started business on 1st April, 2024 with capital of `5,50,000. On 31st March, 2025, his total assets were `10,75,000 and liabilities were `2,92,500. Calculate the amount by which his capital has increased as on 31st March, 2025.
Answer:
Capital on 1st April, 2023 = `5,50,000
Capital on 31st March, 2025 = `10,75,000-`2,92,500=7,82,500
Amount by which his capital has increased as on 31st March, 2025 =7,82,500-`5,50,000= 2,32,500 (Profit)
Question 22
(a) Mohan started a business on 1st April, 2024 with a capital of `
10,000 and borrowed ` 3,000 from a friend.
He earned a profit of `
5,000 during the year ended 31st March, 2025 and withdrew cash ` 4,000 for personal
use. What is his capital on 31st March, 2025?
(b) Mahesh started a business with a capital of `
15,000 on 1st April, 2024. During the year, he made a profit of `
3,000. He owes ` 2,500 to suppliers
of goods. What is the total of assets in his business on 31st March, 2025?
Answer:
(a) Capital on March 31, 2025 = Capital on April 01, 2024 + Profit − Drawings
= 10,000 + 5,000 − 4,000 = ` 11,000
(b) Total Assets on March 31, 2025 = Capital on April 01, 2024 + Profit + Creditors
= 15,000 + 3,000 + 2,500 = ` 20,500
Question 23:
On 31st March, 2025, the total assets and external liabilities were `2,00,000 and `6,000 respectively. During the year, the proprietor had introduced capital of `20,000 and withdrawn ` 12,000 for personal use. He made a profit of `20,000 during the year. Calculate the capital as on 1st April, 2024.
Answer:
Capital as on March 31, 2025 = Total Assets − External Liabilities
= 2,00,000 − 6,000 = ` 1,94,000
Capital on April 01, 2023 = Capital on March 31, 2025 − Additional Capital + Drawings − Profit
= 1,94,000 − 20,000 + 12,000 − 20,000 = `1,66,000
Question 24:
Mohan started a business on 1st April, 2024 with a capital of ` 25,000 and a loan of ` 12,500 borrowed from Shyam. During 2024-25 he had introduced additional capital of ` 12,500 and had withdrawn ` 7,500 for personal use. On 31st March, 2025 his assets were ` 75,000. Find out his capital as on 31st March, 2025 and profit made or loss incurred during the year 2024-25.
Answer:
Capital on March 31, 2025 = Assets − Loan from Shyam
= 75,000 − 12,500 = `62,500
Profit (or Loss) during the year 2024-25= Capital on March 31, 2025+ Drawings − (Additional Capital + Capital on April 01, 2024)
= 62,500 + 7,500 − (12,500 + 25,000)
= 70,000 − 37,500 = `32,500
Question 25:
Calculate the amount of External Equities as on 31st
March, 2025 in the following cases:
(i) On 31st March, 2025, total assets and capital were `15,00,000 and `10,50,000 respectively.
(ii) On 1st April, 2024, Mukesh started business with a capital of `3,00,000 and a loan of `3,00,000 borrowed from a friend. During the year, he earned a profit of `1,50,000. On 31st March, 2025, the total assets were `15,00,000.
(iii) On 1st April, 2024, Ramesh started business with a capital of ` 3,00,000 and a loan of ` 3,00,000 borrowed from a fixed. During the year, he earned a profit of ` 1,50,000, introduced an additional capital of ` 1,80,000 and had withdrawn `90,000 for his personal use. On 31st March, 2025 total assets were `15,00,000.
Answer:
(i)
Total assets =`15,00,000
Capital = `10,50,000
External Equities(External Liabilities) = Assets – Capital
External Equities(External Liabilities) = 15,00,000 – 10,50,000
External
Equities(External Liabilities) = 4,50,000
(ii)
On 1st April, 2024
Total assets = `15,00,000
Capital = `10,50,000
(iii)
Opening Capital=3,00,000
Opening External liabilities =3,00,000
Total Closing assets=15,00,000
Closing Capital = 3,00,000 + 1,50,000 (Profit) +1,80,000 (Additional Capital) - 90,000 (Drawings) = 5,40,000
Closing External liabilities (External equity) =Total Closing assets -Closing Capital
Closing External liabilities (External equity) =15,00,000 –5,40,000
Closing External
liabilities (External equity) = 9,60,000
Ts Grewal Solution 2025-2026
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