E. Elijah, owner, withdrew $3,000 for personal use. The accountant would record the following journal entry:
A)
$\begin{array} { l l }
\text { Cash } & \$ 3,000 \
\text { E. Elijah, Capital } & \$ 3,000
\end{array}$
B)
Income from Services $\quad\$ 3,000$
Cash$\quad\$ 3,000$
C)
E. Elijah, Drawing $\quad \$ 3,000$
Cash$\quad\$ 3,000$
D)
$\begin{array} { l r }
\text { Wages Expense } & \$ 3,000 \
\text { Cash } & \$ 3,000
\end{array}$

Question

E. Elijah, owner, withdrew $3,000 for personal use. The accountant would record the following journal entry:
A)
$\begin{array} { l l } 
\text { Cash } & \$ 3,000 \
\text { E. Elijah, Capital } & \$ 3,000
\end{array}$
B)
Income from Services $\quad\$ 3,000$
Cash$\quad\$ 3,000$
C) 
E. Elijah, Drawing $\quad \$ 3,000$ 
Cash$\quad\$ 3,000$
D) 
$\begin{array} { l r } 
\text { Wages Expense } & \$ 3,000 \
\text { Cash } & \$ 3,000
\end{array}$

Quizplus · Accepted Answer

When an owner withdraws cash for personal use, it is recorded as a drawing, which decreases the owner's equity. Therefore, the correct entry is a debit to E. Elijah, Drawing and a credit to Cash.

E Elijah, Owner, Withdrew $3,000 for Personal Use Cash $3,000 E. Elijah, Capital $3,000\begin{array} { l l } \text { Cash } & \$ 3,000 \\\text { E. Elijah, Capital } & \$ 3,000\end{array} Cash E. Elijah, Capital ​$3,000$3,000​

E Elijah, Owner, Withdrew $3,000 for Personal Use $\begin{array} { l l } \text { Cash } & \$ 3,000 \\\text { E. Elijah, Capital } & \$ 3,000\end{array}$