The capital is ______?

Use the following information to answer the question below

	D
Motor vehicle	500000
Stock	35000
Debtors	18000
Cash	12850
Bank Overdraft	280000
Creditors	21500

 

A. D 867,350
B. D 544,350
C. D 264,350
D. D 832,350

Correct Answer:

Option C = D 264,350

Explanation

Capital = Total Asset – Total Liabilities

= ( 500,000 + 35,000 + 18,000 +12,850) – (280,000 + 21,500)

= 264,350