I am confused with Capital Account and Drawings Account.
Please show me "the general Journal Entries" and "Owner's
Equity in Balance Sheet".
(1) The owner increased his investment in the company by
$10,000.
(2) The owner increased his investment in the company by
$10,000.
Answers were Sorted based on User's Feedback
Answer / rajkumar
capital account is opened for businessman who invests money
in business. capital account in business money invested for
this purpose capital account is opened and drawings account
is related capital account .in business money is withdrawn
by businessman for his personnal use
Is This Answer Correct ? | 29 Yes | 7 No |
Answer / h.r. sreepada bhagi
I answer this question from the view point of a
proprietorship concern:
Capital Account shows the amount of money invested in the
business by the proprietor/proprietrix and shown on the
Liabilities side of the Balance Sheet.
Where as drawings accounts the amount withdrawn by the
proprietor/owner and the balance is shown on the Assets side
of the Balance Sheet. Capital or drawings can be adjusted
and net and excess of money invested over drawings can be
shown on the Liabilities side of the B/S or excess of
drawings over capital on the Assets side of the B/S.
The same thing applies to Partners' Capital and Partner's
Drawings Account.
However there can not be drawings account in a company
registered under the Companies' Act in India or any such Act
in other countries.
Is This Answer Correct ? | 10 Yes | 6 No |
wht is different between defered tax liablities and defered tax assets??????
what is stock split up
What mean the word LLP? Please share the definition...?
What is NEFT? and its Limit(if any)
How you classify bank Account?
1 Answers Satyaki Educational Academy,
whom can deduct the TDS?
what is service tax rate for company/ indivisual?
FIXED Asset - What is the most used method/right method in Depreciation in India and other countries..? (ie., Straight line method,Written down value method. or etc.,). The calculation for depreciation how it stand commonly in all organization..? Is there any difference between companies and assets..? Your answer will be highly appreciated. Thanks in advance.
What can go wrong if you have a balance sheet with a lot of debt? What can go wrong if there is negative owner's equity? What does a good cash flow statement look like and why?
What is the Difference Between Income Tax and TDS ?
What is the tds effect in balance sheet if tds receipts?
What would be the entry at the time of Generating Tution Fee Challan for Advance fees. (e.g In the Month of April, Fees of June and July in being asked to pay by school to their students?,