CIMA Fundamentals of financial accounting BA3 Question # 63 Topic 7 Discussion

CIMA Fundamentals of financial accounting BA3 Question # 63 Topic 7 Discussion

BA3 Exam Topic 7 Question 63 Discussion:
Question #: 63
Topic #: 7

AB commenced trading on 1 January 20XS. introducing $50,000 cash and $15,000 of assets to the business. The profit earned and retained in the business for the year ended 31 December 20X6 was $160,000. AB's closing capital at 31 December 20X5 was $190,000.

What is the value of AB's drawings for the year ending 31 December 20X5?


A.

$35,000


B.

$20,000


C.

$95,000


D.

$135,000


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