Final answer:
To determine the owner's capital for Karise Repairs, add net income to initial capital and subtract any owner's drawings. The example provided does not furnish sufficient details but explains Singleton Bank's asset changes. The separate self-check question demonstrates calculating a firm's accounting profit.
Step-by-step explanation:
To determine the owner's capital at the end of the year for Karise Repairs, we need to look at the adjusted trial balance which would typically list all the accounts including the owner's capital and retained earnings account. However, since you have not provided the actual figures from the adjusted trial balance for Karise Repairs, it's impossible to give an exact answer. Generally, the owner's capital account balance would be calculated by adding the initial capital to the net income for the year and subtracting any drawings or distributions to the owner.
In the example of the Singleton Bank's balance sheet, the business plan change does not directly illustrate the calculation of the owner's capital. What can be deduced is Singleton Bank has $1 million in reserves and a loan to Hank's Auto Supply of $9 million, with $10 million in deposits. This example highlights asset and liability management but does not provide data for calculating owner's equity.
For the self-check question about the firm's accounting profit, the calculation would be straightforward: $1 million (sales revenue) - $600,000 (labor) - $150,000 (capital) - $200,000 (materials). This results in an accounting profit of $50,000.