Paul commenced business with $100 cash.He purchased goods for $50 that were later sold for $150.The statement of financial position,after the sale,would show a total business wealth of:

Question

Quizplus · Accepted Answer

The initial cash balance was $100. After purchasing goods for $50 and selling them for $150, there is a profit of $100. Therefore, the total business wealth is $200 ($100 initial cash balance + $100 profit from sale of goods).

Paul Commenced Business with $100 Cash