Explanation:

GIVEN:The balance of property at cost has been RS 20,000 and Rs 17,000 in 2013 and 2014 respectively. The profit on sale of property of Rs 2000 is credited to Capital Reserves Account. New property costing Rs 5000 bought in 2014

The balance of property at cost for the year 2013 = RS 20,000 (opening balance)

The balance of property at cost for the year 2014 = Rs. 17,000 (closing balance)

profit on sale of property is credited to Capital Reserves Account = Rs 2000 (profit on sale of asset)

New property costing bought in 2014= Rs 5000 (new additions)

The profit on sale proceeds from property for the year 2014 is

          = 20,000 + 2,000 + 5,000 – 17,000 

          = Rs. 10,000