Question Tag: Capital Increase

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FA – Nov 2011 – L1 – SA – Q14 – Accounting from Incomplete Records

This question tests what an increase in capital over a year represents in the absence of proper books.

In a business enterprise that has not kept proper books of accounts, what does an increase in capital at the end of the year over capital at the beginning of the year represent?
A. Increase in capital
B. Decrease in capital
C. Underutilization of resources
D. Inefficient management of capital
E. Improved operating performance

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FA – Nov 2011 – L1 – SA – Q14 – Accounting from Incomplete Records

This question tests what an increase in capital over a year represents in the absence of proper books.

In a business enterprise that has not kept proper books of accounts, what does an increase in capital at the end of the year over capital at the beginning of the year represent?
A. Increase in capital
B. Decrease in capital
C. Underutilization of resources
D. Inefficient management of capital
E. Improved operating performance

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