An account used to record the owner's investments in the business plus any more or less permanent changes in the equity is called a(n):
A)Expense account.
B)Revenue account.
C)Capital account.
D)Asset account.
E)Withdrawals account.

Question

Quizplus · Accepted Answer

The capital account tracks the owner's investment in the business, as well as any changes in equity that are not related to transactions such as expenses or revenues. This includes things like additional investments or withdrawals by the owner, and any profits or losses generated by the business.

An Account Used to Record the Owner's Investments in the Business