Why do some persons prefer to keep their accounts in the form of incomplete records? State the salient features of such records.

What is a Single Entry System? Distinguish it from Double Entry System. 

Discuss the drawbacks of Single Entry System of accounting. Briefly explain the two methods of ascertaining profit when accounting records are incomplete. 

The amounts of opening assets and closing amounts of a firm are Rs. 80,000 and Rs. 1,30,000 respectively, and the of amount of opening and closing external Liabilities are Rs 50,000 and Rs 80,000 respectively. Calculate the profit earned during the year under the following circumstances :

I)If there are no drawings made and no additional capital brought In by the proprietors:

II)If there are no drawings but Rs, 10,000 was Introduced as additional capital by one; of the partners

III)If drawings by the partners amounted to Rs,8,000 but no additional capital was introduced;

IV)If drawing by partners amounted to Rs, 8,000 and one of the partners had introduced Rs, 10,000 as additional capital during the year