A businessman started a business on April 1, 2009 with 5,00,000 represented by 1,000 units of a

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A businessman started a business on April 1, 2009 with ₹5,00,000 represented by 1,000 units of a product costing ₹500 each. During the year, he sold these items at the rate of ₹750 per unit and the owner also withdrew ₹2,50,000 for his personal purpose. The general price level in the beginning was 100 that increased to 120 at the end of the year, whereas the specific price level applied to this commodity increased to 130. Calculate the amount of capital maintained using all the three conventions.

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Financial Accounting

ISBN: 9780071078023

1st Edition

Authors: Dhanesh K. Khatri

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