Pam Sophly Was Reviewing Her Business Activities at the End

question 170

Essay

Pam Sophly was reviewing her business activities at the end of the year (2009) and decided to prepare an Owner's Equity Statement. At the beginning of the year her assets were $500,000 and her liabilities were $200,000. At the end of the year the assets had grown to $950,000 but liabilities had also increased to $350,000. The net income for the year was $420,000. Pam had withdrawn $120,000 during the year for his personal use.
Prepare an Owner's Equity Statement in good form.

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Definitions:

Cylinders

Geometric shapes or mechanical parts that are solid and have straight parallel sides with a circular or oval cross-section and equally shaped ends.

Drill Bits

Cutting tools used to remove material to create holes, almost always of circular cross-section.

Taper Ratio

The ratio describing how much a tapered feature reduces in diameter over a specified length.

Taper Angle

The angle at which a tapered feature decreases in diameter from one part to another.