The balance sheet of Mr. Lee’s business as at 1 September 2004 is as follow:
$$
Assets43,140Liabilities16,370
Capital26,770
43,14043,140
During the year ended 31 August 2005, Mr. Lee introduced cash of $8,500 into his business and withdrew a total of $3,180 cash for his own personal use. As at 31 August 2005, after all the transactions of the business have been accounted for, the balances of the assets and liabilities of Mr. Lee’s business are:
$
Motor vehicles12,040
Stock of goods11,120
Debtors17,870
Cash at bank and on hand8,080
Creditors12,040
Accrual expenses330
Required:
What is the profit or loss of Mr. Lee’s business for the year ended 31 August 2005?