Question
The net income of Hendley Company for the year is $30,000. Withdrawals during the year were $36,000. No new capital contributions were made during the
The net income of Hendley Company for the year is $30,000. Withdrawals during the year were
$36,000. No new capital contributions were made during the year. Which of the following statements istrue?
A.
Hendley, Capital account increases by $36,000.
B.
Hendley, Capital account decreases by $6,000.
C.
Hendley, Capital will remain the same.
D.
Hendley, Capital account decreases by$30,000.
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Accounting for Decision Making and Control
Authors: Jerold Zimmerman
9th edition
125956455X, 978-1259564550
