Using accounting equation, answer the following independent questions. (i) New company’s assets are `250 lakh and its external liabilities are of `100 lakh, determine the amount of owners’ equity....


Using accounting equation, answer the following independent questions.


(i) New company’s assets are `250 lakh and its external liabilities are of `100 lakh, determine the amount of owners’ equity.


(ii) Royal Industries has total assets of `100 lakh and owners’ equity of `70 lakh, compute the amount of external liabilities.


(iii) Small enterprise has following amounts appearing in balance sheet as at 31st December, 2007: Capital, `50 lakh, Reserves and undistributed profits, `15 lakh and total external liabilities, `35 lakh, determine the amount of total assets.


(iv) At the beginning of the accounting year, Supreme Industries had total assets of `1,700 lakh and its total external liabilities of `1,000 lakh. During the year total assets increased by `300 lakh and total liabilities decreased by `160 lakh, compute the amount of owners’ equity at the end of the year.



Dec 18, 2021
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