T Chin starts a business. Before he actually starts to sell anything he buys fixtures at $2000, a motor vehicle for $5000 and stock of goods for $3500. Although he paid in full for the fixtures and the motor vehicle , he still owes $1400 for some of the goods . J. Preston had lent chin $3000. Chin , after the above, has $2800 in the business bank sand 1000 cash in hand. You are required to calculate his capital and prepare a balance sheet for Chin as at June 30 2008.

T Chin starts a business. Before he actually starts to sell anything he buys fixtures at $2000, a motor vehicle for $5000 and stock of goods for $3500. Although he paid in full for the fixtures and the motor vehicle , he still owes $1400 for some of the goods . J. Preston had lent chin $3000. Chin , after the above, has $2800 in the business bank sand 1000 cash in hand. You are required to calculate his capital and prepare a balance sheet for Chin as at June 30 2008.

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter7: Losses—deductions And Limitations

Section: Chapter Questions

Problem 20P: Carlos opens a dry cleaning store during the year. He invests 30,000 of his own money and borrows...

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