The balance of the owner's drawing account is reported
A)in the Operating Expenses section of the income statement.
B)in the Current Assets section of the balance sheet.
C)in the Other Expenses section of the income statement.
D)on the statement of owner's equity.

Question

Quizplus · Accepted Answer

The balance of the owner's drawing account is reported on the statement of owner's equity, which shows the changes in the owner's capital account during a specific period, including any withdrawals or contributions made by the owner. It is not reported on the income statement, as it is not an expense, nor on the balance sheet as it is not an asset or liability.

The Balance of the Owner's Drawing Account Is Reported