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Crowe Company began operations on January 1, Year 1. The company was organized as a sole proprietorship. During Year 1 , Crowe acquired $40,000 of
Crowe Company began operations on January 1, Year 1. The company was organized as a sole proprietorship. During Year 1 , Crowe acquired $40,000 of capital from John Crowe, the owner. Also, during Year 1 the company earned net income of $20,000 and John Crowe withdrew $15,000 from the business. Based on this information, the Company would show Multiple Choice $5,000 in its capital account on the Year 1 balance sheet
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