Single Entry System

Select the advantage of maintaining incomplete records.

• Easy to Calculate Profit

• Proper Valuation of Assets is Possible

• Suitable for All Business

• Suitable for Tiny Business

To Ascertain the Calculate profit/ loss under single entry system .......

• NET WORTH METHOD

• Conversion Method

• Indian Entry Method

• Statement of Affairs Method

If the firm has incurred loss during the year, then Capital balance will be:

• Negative only

• Positive only

• Can be either Positive or Negative

• Zero.

Under Single Entry System following accounts are maintained:

• Fixed Assets Account

• Cash Account

• Personal Account

• All Accounts

Calculate Closing Capital:

Opening Capital 70,000, Profit 20,000, Drawing 7,000. During the year proprietor sold ornaments of his wife for 20,000 and invested the same in the business.

• 1,03,000

• 1,10,000

• 1,27,000

• None of these

Under Single Entry System to calculate the capital we will prepare.......

• Balance Sheet

• Profit & Loss Account

• Statement of Profit /Loss

• Statement of Affairs

If the capital of the firm on 1st April, 2021 is ₹ 30,000 and the position of the firm on 31st March, 2022 is Assets: ₹45,000 and Creditors: ₹ 9,000, then the profit earned during the year is

• 6,000

• 15,000

• 24,000

• 9,000

From incomplete records, it is not possible to prepare.....

• Trail Balance

• Statement of Affairs

• Statement of Profit /Loss

• All of these

Calculate the amount of additional capital: Opening Capital 1,30,000; Drawings during the year 50,000; Closing Capital 2,00,000; Profit during the year 1,00,000

• 70,000

• 1,50,000

• 2,80,000

• 1,20,000

You are required to ascertain profit earned or loss incurred by Rajiv. He maintains his books as per single entry system. The information disclosed by him is as follows: Capital on 1st April, 2019 ₹ 80,000 Capital on 31st March, 2020 ₹ 1,50,000 Drawings made between 1st April, 2019 to 31st March, 2020 ₹ 30,000 Capital introduced during the year ₹ 10,500.

• 89,500

• 1,69,500

• 79,500

• 35,500