Question
Lee opened his new business on 1 January 2016. On that date, the only asset was a bank balance of $10,000. During the year, Lee’d drawings from the business totalled $35,000. On 31 December 2016, the assets and liabilities of the business were as follows: · Computers and furniture $60,000, · inventory of raw materials $16,500, · finished goods, at cost $7,400, · bank overdraft $11,600, · trade payables, $5,500, · prepayments $1,500, · trade receivables $4,500, · the provision for bad debts $2,000, · bank loan $39,000, · interest payable $500, · accrued expenses, $2,600. What is the profit of the business in the year ended 31 December 2016?
More Alternate Sources of Finance Questions
- Which of the following is NOT one of the seven priorities on which the budget proposal of 2023-24 rests?
- In an organization, in what sequence will the following functions of a manager be performed? 1. Motivation 2. Controlling 3. Organising 4. Planning
- In SQL, which aggregate function is most appropriate for calculating the total revenue from completed transactions in a sales database?
- A company has a Current Asset of ₹40 lakh and Current Liabilities of ₹30 lakh. Calculate the Working Capital Gap.
- What does Organizational Behavior (OB) study and apply knowledge about?
- The transactional leadership looks at the relation between a leader and subordinate as a transaction of rewards which the followers receive for their comp...
- Which among the following is outside the scope of AS-13?
- A data analyst needs to compute summary statistics , fit a regression model , and visualize data distributions . Which R package offers a comprehensive so...
- Which of the following correctly describes economic indicators and their expected impact on an economy ? 1. An increase in the repo rate by the cent...
- A company did sales of Rs.1 lakh during the year. It had total purchases of Rs.75000 of which Rs.2000 worth was returned. The company paid Rs.2000 for carr...
Relevant for Exams:
Hey! Ask a query
Please enter email id
The email must be a valid email address.
Please enter Mobile Number
Please enter valid Mobile Number
Please enter your Doubt
Think You're Ready for RBI Grade B?
RBI Grade B 2026 Phase 1 Memory Based Paper
- 200 Questions with Detailed Solutions
- Section-wise Coverage (GA, English, Quant & Reasoning)