Practice Adjustments To Calculate Profit (9.4.2) - Accounts from Incomplete Records
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Adjustments to Calculate Profit

Practice - Adjustments to Calculate Profit

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Practice Questions

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Question 1 Easy

What is the formula to calculate Profit or Loss?

💡 Hint: Think about how changes in capital affect the profit calculation.

Question 2 Easy

If the opening capital is ₹30,000 and closing capital is ₹40,000, with no withdrawals or additional investments, what is the profit?

💡 Hint: Use the basic profit calculation formula.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What is needed to calculate profit from incomplete records?

Opening and closing capital only
Withdrawals and additional investments
Both A and B

💡 Hint: Consider what components affect the change in capital.

Question 2

True or False: Adjustments for credit transactions are essential in calculating net profit.

True
False

💡 Hint: Think about how credit affects financial figures.

1 more question available

Challenge Problems

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Challenge 1 Hard

A company starts with ₹150,000 capital and ends with ₹185,000, has investments of ₹30,000 and withdrawals of ₹20,000. What is the profit, and how do unpaid expenses affect this calculation?

💡 Hint: Add any unpaid expenses to the adjustments to get the true profit.

Challenge 2 Hard

You find out a business excluded credit sales of ₹25,000. How might this change an originally calculated profit of ₹50,000?

💡 Hint: Think about how missed income affects overall numbers.

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