Owners Equity in Adjusted Trial balance is 4,000 and in Balance Sheet 4,000. Do I add this in Statement of Owners Capital?
![]() |
Owners Equity in Adjusted Trial balance is 4,000 and in Balance Sheet 4,000. Do I add this in Statement of Owners Capital?
The statement of owner's equity has to be done before the balance sheet. If the amount on the adjusted trial balance is $4000, it's not going to be $4000 on the balance sheet. The statement of owner's equity will add net income (or subtract net loss) and subtract any withdrawals, for a new end-of-year balance. That number goes on the balance sheet.
All times are GMT -7. The time now is 04:24 AM. |