Accounting 9706 · AS & A Level · Reconciliation and verification

Reconciliation and verification — practice question

A business gave the following details for two years: Year 1: non-current assets $9000$, net current assets $1000$ Year 2: non-current assets $12000$, net current assets $2000$ There were no non-current liabilities. Drawings were $5000$ in year 1 and $3000$ in year 2. What profit was made in year 2?

  • A$1000$
  • B$4000$
  • C$5000$
  • D$7000$

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