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Amanda [17]
3 years ago
8

warfaa is setting up anew business. before selling anything he bought avan for $4500,a shop for $2000 and stock of good for $150

0, he did not pay in full for the stock and still ownest $1000 from respect of them . he borrowed $5000 from farah . after the events just described and before trading start he has 400 cash in hand and 1100 cash at bank , calculate warfaa's capital.​
Business
1 answer:
Wittaler [7]3 years ago
7 0

Answer:

$3,500

Explanation:

Calculation for warfaa's capital

ASSETS

Cash $1,500

($400+$1,100)

Inventory $1,500

Fixed Assets $6,500

($4,500 + $2,000)

Total Assets $9,500

($1,500+$1,500+$6,500)

LIABILITIES

Notes Payable $5,000

Accounts Payable $1,000

Total Liabilities $6,000

($5,000+$1,000)

CAPITAL $3,500

($9,500-$6,000)

Therefore warfaa's capital is $3,500

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