Ask Question
BusinessBusiness
22 September, 03:25

Libby is the sole proprietor of a travel agency. During the year, she withdrew $3,750 from her business for her personal use. How will the business account for this withdrawal? A. debit the distribution account B. credit the drawings account C. debit the capital account D. credit the capital account E. credit the profit account

+5
Answers (2)
  1. 22 September, 05:26
    0
    Im guessing C because the other ones are not well worded.
  2. 22 September, 06:31
    0
    C. debit the capital account

    Explanation:

    Libby is the sole proprietor of a travel agency. During the year, she withdrew $3,750 from her business for her personal use. How will the business account for this withdrawal? A. debit the distribution account B. credit the drawings account C. debit the capital account D. credit the capital account E. credit the profit account

    A sole proprietor has certain advantages which includes having access to the funds and having an oversight of the business. If she withdraws the sum of $3,750 for her personal use, we can say that is a debiot from her capital account. If she invest that amount into the business, that is a credit to her capital account.

    Capital is the fund or resources used to start a business.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Libby is the sole proprietor of a travel agency. During the year, she withdrew $3,750 from her business for her personal use. How will the ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
A process costing system: Multiple Choice uses a separate Work in Process account for each type of product produced. does not use a Work in Process account in any form. uses a single Work in Process account for the entire company.
Answers (1)
You are given two choices of investments, Investment A and Investment B. Both investments have the same future cash flows. Investment A has a discount rate of 4%, and Investment B has a discount rate of 5%. Which of the following is true? A.
Answers (1)
Which of the following would shift the supply of Green Bay Packers football jerseys to the left? a. The Green Bay Packers make it to the Super Bowl. b. The price of the jerseys increases by $15. c.
Answers (1)
The time it takes for a new policy to register its full impact on the economy after it has been put in force is known as the
Answers (1)
ArmiLiza, a popular United States-based brand of handbags, has built a second factory in Mexico. The majority of the new factory's employees are Mexican citizens or Honduran immigrants.
Answers (1)
New Questions in Business
Job seekers who lack skills that are demanded by employers are
Answers (1)
Why is it important for managers to pay close attention to their organization's production system if they wish to be responsive to their customers?
Answers (1)
Which inventory counting system keeps track of removals from inventory on a continuous basis?
Answers (1)
Which analogy best describes a single economic action?
Answers (1)
What is included in an individual's personal finances? Check all that apply. number of dependents money Career property investment
Answers (1)
Home » Business » Libby is the sole proprietor of a travel agency. During the year, she withdrew $3,750 from her business for her personal use. How will the business account for this withdrawal? A. debit the distribution account B. credit the drawings account C.
Sign Up Forgot Password?