Place the number corresponding to each of the following characteristics in the appropriate section of the diagram.

Question:

Place the number corresponding to each of the following characteristics in the appropriate section of the diagram. If a characteristic applies to both expenses and drawings, place that number in the intersection or overlapping section of the diagram.

1. Appears on the income statement.

2. Appears on the statement of owner€™s equity.

3. Represents a decrease in owner€™s equity.

4. Is part of the equation for calculating profit.

5. Increases on the debit side.

Expenses Drawings