Botsogo is setting up a new business. Before actually selling anything she bought a van for 4,500,a market stall for 2,000 and an inventory of goods for 1,500. She did not pay in full for her inventory of goods and still owes 1,000 in respect of them. She borrowed 5,000 from Boineelo. After the events just described and before trading starts she has 400 cash in hand and 1,100 cash at bank. Calculate the amount of her capital.
Botsogo is setting up a new business. Before actually selling anything she bought a van for 4,500,a market stall for 2,000 and an inventory of goods for 1,500. She did not pay in full for her inventory of goods and still owes 1,000 in respect of them. She borrowed 5,000 from Boineelo. After the events just described and before trading starts she has 400 cash in hand and 1,100 cash at bank. Calculate the amount of her capital.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Topic Video
Question
Botsogo is setting up a new business. Before actually selling anything she bought
a van for 4,500,a market stall for 2,000 and an inventory of goods for 1,500. She did not
pay in full for her inventory of goods and still owes 1,000 in respect of them. She
borrowed 5,000 from Boineelo. After the events just described and before trading starts
she has 400 cash in hand and 1,100 cash at bank. Calculate the amount of her capital.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education