If opening capital is Rs 60,000, drawings Rs 5,000, capital introduced during the period Rs 10,000, closing capital Rs 90,000. The value of profit earned during the period will be:
A. Rs 20,000
B. Rs 25,000
C. Rs 30,000
D. Rs 40,000
Statement of Profit or Loss
Particulars
Amount (₹)
Closing Capital
3,80,000
Add :- Drawings (5,000 x 9)
45,000
Less:- Additional Capital
(1,00,000)
Less:- Opening Capital
(2,50,000)
Profit during the year
75,000
or
Particulars
Amount (₹)
Opening Capital
3,50,000
Add :- Additional Capital
2,00,000
Less :- Drawings
(80,000)
Add :- Profits during the...
a) Controlling
(b) Measurement of actual performance
Once performance standards are set, the next step is measurement of actual performance. Performance should be measured in an objective and reliable manner. There are...