What would be the effect on the accounts if the owner withdrew cash?
A)An asset would be credited and an expense credited.
B)Withdrawals would be debited and an asset credited.
C)An asset would be debited and a revenue credited.
D)An expense would be debited and Capital credited.

Question

Quizplus · Accepted Answer

When the owner withdraws cash, the Cash account (an asset) will decrease, so it will be credited. The Withdrawals account (an equity account) will increase, so it will be debited.

What Would Be the Effect on the Accounts If the Owner