Propritory Account

hi kamal,

business loan is shown in B/S in liabilities side.

Housing & personal loan shud be added in the capital.

at the time of payment of instalment, it sud be shown as drawings

Loan Instalment Deduct from personal Bank Account. Can We Show The Personal Bank Account With Business Bank Account At Current Assets?

There need to be prepare Two Separate B/S.

First One for Mnfg Business:

Loan taken for Business is to be shown here. Loss would be reflected in P/L.

Second One for Propreitor:

Housing & Personal Loan is to be shown here.

Loss from Business, Interest Amt on Loans is to be debited to Drawing A/c (Personal).

Net Capital in Business would be reflected in Capital A/c (Personal).

Its Means Two Balance Sheet Are Prepare One For Business And Second One For Personal. What About Capital Account. Two Capital Account are preapare if yes Then how We show the Capital Account In Business Balance Sheet?

Yes. Two Capital A/c needs to be prepared.

Capital A/c for Business would reflect Capital invested in Business & Net Capital in Business would reflect in Capital A/c prepared  for Propreitor Personal Capital A/c.