The owner of a firm had capital of $78,000 on January 1, 2019, and made withdrawals of $29,000 during 2019. The business earned a net income of $42,000 for the year.
1. What amount of capital was shown as of December 31, 2019, on the statement of owner's equity?
2. How much was the increase or decrease in capital for the year?

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The Answer of The owner of a firm had capital of $78,000 on January 1, 2019, and made withdrawals of $29,000 during 2019. The business earned a net income of $42,000 for the year.
1. What amount of capital was shown as of December 31, 2019, on the statement of owner's equity?
2. How much was the increase or decrease in capital for the year?

The Owner of a Firm Had Capital of $78,000 on January