Question
A business owner contributes capital to his business in cash. What is the impact of this transaction on the financial statements of the business? Profits
A business owner contributes capital to his business in cash. What is the impact of this transaction on the financial statements of the business?
Profits increase, owner's equity increases
Assets increase, owner's equity increases
Liabilities decrease, owner's equity increases
Assets increase, owner's equity decreases
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Intermediate Accounting
Authors: Beechy Thomas, Conrod Joan, Farrell Elizabeth, McLeod Dick I
Volume 1, 6th Edition
1259103250, 978-1259103254, 978-0071339476
