Practice Questions on Single Entry System / Accounts from Incomplete Records

Single Entry System

Practice Questions

1. Manu maintains books on single entry system. He gives you the following information:

Capital on 1st April 2020 – Rs 150,000

Capital on 31st March 2021 – Rs 220,000

Drawings made during the period 1st April 2020 to 31st March 2021– Rs 7,500

Capital introduced on 1st October 2020 – Rs 50,000

Calculate the profit earned or loss incurred by Manu during the year.

2. Aditya maintains books on single entry system. His capital at the beginning of the year was Rs 140,000. During the year, he withdrew Rs 14,000 for his personal use. He earned a profit of Rs 40,000. He sold some of his household furniture for Rs 40,000 and invested that amount into the business. Find out his capital at the end.

3. Mayank maintains books on single entry system. On 1st April 2020, his capital was Rs 200,000 and on 31st March 2021, his capital was Rs 150,000. He had withdrawn Rs 10,000 per month for personal use. He had also withdrawn goods worth Rs 20,000 for personal use. How much did he earn or lose in 2020-21?

4. Akanksha maintains books on single entry system. She gives you the following information:

Capital on 1st April 2020 – Rs 220,000

Capital on 31st March 2021 – Rs 250,000

Drawings made during the period 1st April 2020 to 31st March 2021– Rs 7,500

Capital introduced on 1st October 2020 – Rs 50,000

Calculate the profit earned or loss incurred by Akanksha during the year.

5. Monu maintains books on single entry system. He gives you the following information from his books. You are required to find out his capital at the beginning.

Capital at the end – Rs 160,000

Drawing during the year – Rs 20,000

Additional Capital invested during the year – Rs 35,000

Profit made during the year – Rs 80,000.

6. Guddu maintains books on single entry system. He gives you the following information from his books. You are required to find out additional capital introduced in the business during 2020-21.

Opening Capital – Rs 70,000

Closing Capital – Rs 150,000

Drawing during the year – Rs 2,000 per month

Profit made during the year – Rs 80,000.

7. From the following information, calculate the profit or loss during the year:

Particulars	1st January 2020	31st December 2020
Creditors Bills payable Loan Bills receivable Stock  Cash	15,000 30,000 - 90,000 15,000 6,000	35,000 - 40,000 40,000 30,000 20,000

8. Anand started business with capital of Rs 400,000 on 1st April 2020. He borrowed Rs 80,000 from his friend and brought further capital of Rs 60,000. On 31st March 2021, his position was as follows:

Particulars	Amount (Rs)
Cash Stock Debtors Creditors	25,000 450,000 300,000 250,000

He withdrew Rs. 6,000 per month for the year. Calculate profit or loss for the year.