Question

Hannah Roberts owns and operates Hannah's Pool Service Company. On January 1, Hannah Roberts, Capital had a balance of $252,000. During the year, Hannah invested an additional $32,000 and withdrew $52,400. For the year ended December 31, Hannah's Pool Service Company reported a net income of $73,200.

Prepare a statement of owner's equity for the year ended December 31.
Hannah's Pool Service Company
Statement of Owner's Equity
For the Year Ended December 31
Hannah Roberts, capital, January 1
Investment during year
Net income
Withdrawals during year
Increase in Owner's equity
Hannah Roberts, capital, December 31

Answer 1

Hannah's Pool Service Company

Statement of Owner's Equity

For the Year Ended December 31, 202x

Hannah Roberts, capital, January 1, 202x $252,000

Investments during the year $32,000

Net income $73,200

Subtotal $357,200

Withdrawals during the year $52,400

Hannah Roberts, capital, December 31, 202x $304,800