Illustration 4, Ch-8, ICAI new study mat

Accountancy

In the solution, why bank balance of 7,50,000 has been taken as opening balance? Shouldn't it be used while calculating the closing bal i.e. 7,50,000 - 11,250 = 7,38,750. Q. says 7.5L including interest. So only interest should be subtracted. Is ICAI wrong in subtracting interest and investment amount also and adding Deb holder payment to it? For better clarity I have attached the Q + Soln.

Ishika Goel 282

CA Final

★ 3K+

21-Feb-21 00:00

666

Answers (1)

It is an investment a/c interest is received not paid

ruchi lahoti

CA Inter

★ 27K+

22-Feb-21 11:47