Multiple Choice Question

Which of the following statements best describes the purpose of the Owner, Capital account?

When an owner invests in a business, the invested amount is recorded in the Common Stock account

When a business owes a vendor, the obligation amount is recorded in the Common Stock account.

When a business is owed money from a customer, the amount is recorded in the Common Stock account.

When a business distributes assets to owners, the distribution is recorded in the Common Stock account.