Calculate Opening Capital as at January 1, 2023.

Opening Capital = Opening Assets - Opening Liabilities

• Opening Assets:
  • Stock: K19,000.00
  • Debtors: K12,000.00
  • Furniture & Fixtures: K16,500.00
  • Cash at Bank: K13,500.00
  $$\text{Total Opening Assets} = 19,000 + 12,000 + 16,500 + 13,500 = \text{K}61,000.00$$
• Opening Liabilities:
  • Sundry Creditors: K14,500.00
  • Outstanding salaries: K1,200.00
  $$\text{Total Opening Liabilities} = 14,500 + 1,200 = \text{K}15,700.00$$
• Opening Capital: $$\text{Opening Capital} = 61,000 - 15,700 = \text{K}45,300.00$$

Closing Capital = Closing Assets - Closing Liabilities

• Closing Assets:
  • Stock: K20,000.00
  • Debtors: K15,500.00
  • Furniture & Fixtures: K12,000.00
  • Plant: K20,000.00
  $$\text{Total Closing Assets} = 20,000 + 15,500 + 12,000 + 20,000 = \text{K}67,500.00$$
• Closing Liabilities:
  • Sundry Creditors: K13,000.00
  • Bank overdraft: K6,000.00
  $$\text{Total Closing Liabilities} = 13,000 + 6,000 = \text{K}19,000.00$$
• Closing Capital: $$\text{Closing Capital} = 67,500 - 19,000 = \text{K}48,500.00$$

XYZ Ltd
Statement of Profit or Loss
For the year ended 31 December 2023

Particulars	Amount (K)
Closing Capital (as at 31 Dec 2023)	48,500
Add: Drawings during the year	2,000
Adjusted Closing Capital	50,500
Less: Opening Capital (as at 1 Jan 2023)	(45,300)
Less: Additional Capital introduced	(500)
Net Profit for the year	$\boxed{\textbf{4,700}}$