What is a proper entry to show the owner making an investment in the company?
A) A credit to Cash and a debit to Capital
B) A debit to Cash and a credit to Capital
C) A debit to Cash and a credit to Revenue
D) A credit to Cash and a debit to Revenue

Question

Quizplus · Accepted Answer

When an owner invests in the company, the company receives cash, which increases its assets. This is recorded by debiting Cash. Simultaneously, the owner's equity in the company increases, which is recorded by crediting the Capital account.

What Is a Proper Entry to Show the Owner Making