Which of the Following Entries Records the Investment of Cash

question 58

Multiple Choice

Which of the following entries records the investment of cash by John, owner of a sole proprietorship?

• A) Debit John, Capital; credit Cash
• B) Debit Cash; credit John, Withdrawals
• C) Debit John, Withdrawals; credit Cash
• D) Debit Cash; credit John, Capital

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Definitions:

Behavioral Science

The study of human and animal behavior through observation and experimentation, applying multidisciplinary principles.

Critical-Thinking Methodology

An approach that involves objective analysis and evaluation of an issue in order to form a judgment.

Bias

A prejudice in favor of or against one thing, person, or group compared with another, usually in a way considered to be unfair.

Observing Behaviors

The act of systematically watching and recording the actions and reactions of individuals or groups in order to gather data about specific conduct.