[APPENDIX] Tropic Vending,a sole proprietorship,had the following balances and transactions during 2013: beginning capital,$40,000;contribution of cash to the business by the owner,$15,000;revenue,$60,000;expenses,$35,000;withdrawal by the owner,$5,000.What is the amount of the ending capital balance?

Question

Quizplus · Accepted Answer

Beginning capital + contribution by the owner + revenue - expenses - withdrawal by the owner = ending capital
$40,000 + $15,000 + $60,000 - $35,000 - $5,000 = $75,000. Therefore, the ending capital balance is $75,000.

[APPENDIX] Tropic Vending,a Sole Proprietorship,had the Following Balances and Transactions