Capital Account Balance

As of January $1,$ Terrace Waters, Capital had a credit balance of $$500,000.$ During the year, withdrawals totaled $$10,000,$ and the business incurred a net loss of $$320,000.$

a$.$ Compute the balance of Terrace Waters, Capital as of the end of the year.

of $

b$.$ Assuming that there have been no recording errors, will the balance sheet prepared at December $31$ balance?