1.

When an owner makes a withdrawal

Select one:

Select one:a.

the drawings account will be increased with a debit.

b.

the capital account will be directly increased with a debit.

c.

the drawings account will be decreased with a debit.

d.

the drawings account will be increased with a credit.

2.

Tom Smith began the year with total assets of $129000 and total liabilities of $77000 . During the year the business earned revenue of $113000 and paid expenses of $34000. Tom also withdrew cash of $63000. How much is the business equity at year-end?

Select one:a.

$131000

b.

$68000

c.

$97000

d.

$165000