Beginning owner's capital is $20 000. No capital contributions were made during the year. Drawings were $7 000. Ending owner's capital is $37 000. What was profit?

Name: Beginning owner's capital is $20 000. No capital contributions were made during the year. Drawings were $7 000. Ending owner's capital is $37 000. What was profit?
Brand: Quizplus
Rating: 4.8 (48 reviews)

Question

Quizplus · Accepted Answer

Beginning owner's capital + Profit - Drawings = Ending owner's capital$20,000 + Profit - $7,000 = $37,000Profit = $37,000 - $20,000 + $7,000Profit = $24,000

Beginning Owner's Capital Is $20 000