Capital account & balance sheet of a proprietor

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 July 2014

Should the Balance sheet reflect the personal assets of a proprietor?

How the investments in PPF,NSC etc will appear in the Balance sheet?

Is there any format for preparing a capital account? Which items should be credited & debited to the Capital account so that it should reflect a true & fair view?

Nischit Sanghavi

Nischit Sanghavi (Expert)
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22 July 2014 Balance sheet of individual always carry Personal assets.

Investment made upto date in PPF and NSC will show in Balance sheet under the head of Investment.

Capital Account

Particulars Dr. particulars Cr.

To Drawings By Opening
To LIC Premium
To Society Maintenance
To Telephone Expenses
To Electricity Charges
To Bank Charges
To Household Expenses

To Balance c/f….

You may show other expense and income also.