Fowler Company opened business as a sole proprietorship on January 1,2017.The owner contributed $525,000 cash on that date.During the year,the company had a net income of $20,000.The company purchased equipment of $120,000 during the year.The owner also withdrew $75,000 to pay for personal expenses during 2017.

Required
Determine the company's owner's equity at December 31,2017.

Question

Fowler Company opened business as a sole proprietorship on January 1,2017.The owner contributed $525,000 cash on that date.During the year,the company had a net income of $20,000.The company purchased equipment of $120,000 during the year.The owner also withdrew $75,000 to pay for personal expenses during 2017.
 
Required
 Determine the company's owner's equity at December 31,2017.

Quizplus · Accepted Answer

The Answer of Fowler Company opened business as a sole proprietorship on January 1,2017.The owner contributed $525,000 cash on that date.During the year,the company had a net income of $20,000.The company purchased equipment of $120,000 during the year.The owner also withdrew $75,000 to pay for personal expenses during 2017.
 
Required
 Determine the company's owner's equity at December 31,2017.

Fowler Company Opened Business as a Sole Proprietorship on January