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Assets excluding goodwill total Rs. 12,00,000 and outside liabilities Rs. 3,50,000. Firm's capital?
ARs. 12,00,000
BRs. 8,50,000
CRs. 3,50,000
DRs. 15,50,000
Answer & Solution
Correct answer: B. Rs. 8,50,000
Capital for this method is assets less outside liabilities, so 12,00,000 minus 3,50,000 is 8,50,000.
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