Under the Single Entry System, if opening capital is Rs 1,00,000, closing capital is Rs 90,000, and drawings are Rs 30,000 (no fresh capital), the profit is: MCQ with Answer and Explanation

Under the Single Entry System, if opening capital is Rs 1,00,000, closing capital is Rs 90,000, and drawings are Rs 30,000 (no fresh capital), the profit is:
A. Rs 40,000
B. Rs 20,000
C. Rs 20,000 Loss
D. Rs 10,000 Loss
Answer: Option B
Solution (By JKSSB Mock Tests)
Profit = Closing Cap + Drawings - Opening Cap = 90,000 + 30,000 - 1,00,000 = Rs 20,000.

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