The owner's capital account in the last two columns of the work sheet is not up-to-date because it does not yet include net income and withdrawals of the current period.

Question

Quizplus · Accepted Answer

The owner's capital account on the work sheet only reflects the beginning balance and any adjustments made during the period. It does not include the current period's net income or owner withdrawals, which will need to be added or subtracted to update the account.

The Owner's Capital Account in the Last Two Columns of the Work