Withdrawals by the owner for personal use do not affect net income or net loss of the business.

Name: Withdrawals by the owner for personal use do not affect net income or net loss of the business.
Brand: Quizplus
Rating: 4.9 (33 reviews)

Question

Quizplus · Accepted Answer

Withdrawals by the owner for personal use are not expenses or revenues and therefore do not affect the net income or net loss of the business. However, they do reduce the owner's equity in the business.

Withdrawals by the Owner for Personal Use Do Not Affect