Which one of the following represents the expanded basic accounting equation?
A) Assets = Liabilities + Owner's Capital + Owner's Drawings - Revenue - Expenses.
B) Assets + Owner's Drawings + Expenses = Liabilities + Owner's Capital + Revenues.
C) Assets - Liabilities - Owner's Drawings = Owner's Capital + Revenues - Expenses.
D) Assets = Revenues + Expenses - Liabilities.

Question

Quizplus · Accepted Answer

The expanded basic accounting equation is: Assets + Owner's Drawings + Expenses = Liabilities + Owner's Capital + Revenues. This equation accounts for all components of equity, including drawings and expenses.

Which One of the Following Represents the Expanded Basic Accounting