Which of the following entries records the owner taking cash for personal use?
A) Wage Expense, debit; Cash, credit
B) Capital, debit; Cash, credit
C) Withdrawals, debit; Cash, credit
D) No entry is necessary since this is a personal transaction.

Question

Quizplus · Accepted Answer

Withdrawals, debit; Cash, credit is the correct entry for recording the owner taking cash for personal use. This reflects a decrease in cash (credit) and an increase in owner's withdrawals (debit), which represents funds taken out of the business by the owner for personal use.

Which of the Following Entries Records the Owner Taking Cash