Shop Fittings

Accounting Question - How do u calculate the capital on a?

Balance Sheet? Question is... Mark Florence is the owner of the Ponte Jewellers, and has provided the following list of the firm's assets and liabilities as at 31 May 2010. Stock................... 62 000 Creditors............... 3 400 Loan- Nab........... 30 000 Shop fittings........ 12 000 Bank...................... 5 900 Debtors................. 8 600 Office Equipment. 4 100 Calculate the capital as at 31 may 2010? Help plz... TRIED COULDN'T GET HOW U DO IT!

Public Comments

1. Assets minus Liabilities equals Capital. You have to determine which category is an asset (something that has value or is cash), and something that is a liability (money you owe). This is the point of the exercise. Seperate the two, then add them seperately. Subtract the liablities from the assets and the rest is Capital.