Which of the following transactions increase owner's equity?
A)owner withdrawals for personal use
B)receiving cash from customers on account
C)earning revenue
D)paying expenses

Question

Quizplus · Accepted Answer

Earning revenue increases owner's equity as it represents the money earned by the business.

Answer: B 
 Receiving cash from customers on account also increases owner's equity as it represents the collection of money owed to the business.

Therefore, the choices that increase owner's equity are C and B.

Which of the Following Transactions Increase Owner's Equity