The total assets and the total liabilities of Paragon Services are shown below. During the year, no additional capital contributions were made, and the business earned net income of $50,000. Assets Liabilities Beginning of year S395,000 S290,000 End of year 455,000 320,000 What was the amount of drawings taken during the year? Your answer: S85,000 $40,000 S45,000 S20,000
The total assets and the total liabilities of Paragon Services are shown below. During the year, no additional capital contributions were made, and the business earned net income of $50,000. Assets Liabilities Beginning of year S395,000 S290,000 End of year 455,000 320,000 What was the amount of drawings taken during the year? Your answer: S85,000 $40,000 S45,000 S20,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![The total assets and the total liabilities of Paragon Services are shown below. During the year, no additional
capital contributions were made, and the business earned net income of $50,000.
Assets
Liabilities
Beginning of year
$395,000
S290,000
End of year
455,000
320,000
What was the amount of drawings taken during the year?
Your answer:
S85,000
$40,000
$45,000
S20,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fae1ac367-f302-4ef9-abb5-a867db7d3560%2F8c0b1f57-7460-4df6-b9f3-2eb67cd5fc02%2Fwcci5eo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The total assets and the total liabilities of Paragon Services are shown below. During the year, no additional
capital contributions were made, and the business earned net income of $50,000.
Assets
Liabilities
Beginning of year
$395,000
S290,000
End of year
455,000
320,000
What was the amount of drawings taken during the year?
Your answer:
S85,000
$40,000
$45,000
S20,000
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