Identify the account used by businesses to record the transfer of assets from a business to its owner for personal use:
A)A revenue account.
B)The owner's withdrawals account.
C)The owner's capital account.
D)An expense account.
E)A liability account.

Question

Quizplus · Accepted Answer

The owner's withdrawals account is used to record the transfer of assets from a business to its owner for personal use. This account is a subaccount of the owner's equity section of the balance sheet and is used to reduce the owner's capital account. It is not a revenue, expense, or liability account.

Identify the Account Used by Businesses to Record the Transfer