A sole proprietorship had the following assets and liabilities at the beginning and end of this year. Beginning of the year End of the year Assets $ 95,000 136,500 Liabilities $ 40,727 55,283 Determine the net profit earned or net loss incurred by the business during the year for each of the following separate cases (Omit the "$" sign in your response): Only in this question, Net loss amounts should be indicated by a minus sign. a. Owner made no investments in the business and no withdrawals were made during the year. (Click to select) e b. Owner made no investments in the business but withdrew $900 cash per month for personal use. (Click to select) c. Owner made no withdrawals during the year but did invest an additional $45,000 cash. (Click to select)

A sole proprietorship had the following assets and liabilities at the beginning and end of this year. Beginning of the year End of the year Assets $ 95,000 136,500 Liabilities $ 40,727 55,283 Determine the net profit earned or net loss incurred by the business during the year for each of the following separate cases (Omit the "$" sign in your response): Only in this question, Net loss amounts should be indicated by a minus sign. a. Owner made no investments in the business and no withdrawals were made during the year. (Click to select) e b. Owner made no investments in the business but withdrew $900 cash per month for personal use. (Click to select) c. Owner made no withdrawals during the year but did invest an additional $45,000 cash. (Click to select)

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter13: Corporations: Earning & Profits And Distributions

Section: Chapter Questions

Problem 13P

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