Use the following information to answer the given question \(\begin{array} {c|c} & D \\ \hline \text{Cash in hand}& 1,440\\ \text{Cash at bank} & 2440\\ \te...

Answer Details

The total assets of the business are Cash in hand + Cash at bank + Stock + Furniture and fittings = D1,440 + D2,440 + D2,500 + D2,200 = D8,580. The liability is the amount owed to creditors, which is D1,000. Therefore, the liability is D1,000. Option D is the correct answer.