Exercise 2-15 Computing net income LO A1 A sole proprietorship had the following assets and liabilities at the beginning and end of this year. Liabilities Beginning of the year 03:06:50 End of the year Assets $ 84,500 125,000 $36,225 50,625 a. Owner made no investments in the business, and no withdrawals were made during the year. b. Owner made no investments in the business, but withdrew $850 cash per month for personal use. c. Owner made no withdrawals during the year, but the owner did invest an additional $45,000 cash. d. Owner withdrew $850 cash per month for personal use, and the owner invested an additional $35,000 cash. Determine net income or net loss for the business during the year for each of the above separate cases: (Decreases in equity shou be indicated with a minus sign.) Answer is complete but not entirely correct. b. C. d. Beginning of the year-Equity $ 48,275 ( $ 48,275 $ Owner investments 48,275 $ 45,000 48,275 35,000 Withdrawals by owner Net income (loss) 26,100 (850) 26,950 (850) (18,900) ( (8,050) End of the year-Equity $ 74,375 $ 74,375 $ 74,375 74,375 < Prev 6 of 7 Next