Question

R. Linda capital amount on january 1st was 151600 and there was an additional investment of 7600 on may 12 and withdrawls of 37900 for the year. Net income for the year was 24250. Prepare a statement of owners equity for the Lindal clinic for the year ended december 31

Answer 1

$145,550

Explanation:

R. Linda Clinic Statement of Owner's equity for the year ended, December 31.

Particulars

$

Beginning capital

151,600

Add additional

investment 7,600

Add net income

for the year 24,250

__________

183,450

Less drawings 37,900

_________

145,550

__________

Capital, December 31 (Ending capital )

The amount of $145,550 is the total owner's equity for the company.