**Total Assets Calculation:**

To calculate the total assets, we need to consider the various components that contribute to the assets of the business. These components include:

1. Cash and Bank Balance: The amount of money held by the business in the form of cash and bank balances.

2. Accounts Receivable: The amount owed to the business by its customers for goods or services sold on credit.

3. Inventory: The value of unsold stock held by the business.

4. Fixed Assets: The value of long-term assets owned by the business, such as land, buildings, and machinery.

5. Investments: The value of any investments made by the business, such as shares or bonds.

6. Other Assets: Any other assets owned by the business that do not fall into the above categories, such as prepaid expenses or goodwill.

**Given Information:**

Revenue earned during the period: Rs. 8,50,000
Expenses incurred during the period: Rs. 3,50,000
Value of unsold stock: Rs. 3,50,000
Capital of the business: Rs. 5,00,000
Creditors: Rs. 4,00,000

**Calculation:**

1. Start with the revenue earned during the period: Rs. 8,50,000
2. Subtract the expenses incurred during the period: Rs. 3,50,000
- This gives us the net profit or loss for the period.
3. Add the value of unsold stock: Rs. 3,50,000
- This represents the inventory held by the business.
4. Calculate the total assets:
- Total Assets = Net Profit + Inventory + Capital + Creditors

**Total Assets Calculation:**

Total Assets = (8,50,000 - 3,50,000) + 3,50,000 + 5,00,000 + 4,00,000
Total Assets = 5,00,000 + 3,50,000 + 5,00,000 + 4,00,000
Total Assets = 17,00,000

Therefore, the total assets of the business amount to Rs. 17,00,000.

**Explanation:**

The total assets of a business represent the value of all the resources owned by the business. In this case, we calculate the total assets by considering the net profit, inventory, capital, and creditors of the business.

The net profit is calculated by subtracting the expenses incurred during the period from the revenue earned. This gives us the amount of profit generated by the business.

The value of unsold stock is added to the net profit to account for the inventory held by the business. This represents the value of goods or products that have been purchased but have not yet been sold.

The capital of the business represents the owner's investment in the business. This amount is added to the net profit and inventory to calculate the total assets.

Lastly, the creditors are also considered as a liability of the business and are added to the total assets calculation. Creditors represent the amount owed by the business to its suppliers or other creditors.

By adding all these components together, we arrive at the total assets of the business. In this case, the total assets amount to Rs. 17,00,000.