The Net Income of Edwards Corporation Amounted to $75,000 for This

question 51

Multiple Choice

The net income of Edwards Corporation amounted to $75,000 for this year.The beginning balance of owner's equity was $30,000 and the ending balance was $72,000.The company received no new contributions during the year.What was the amount of the owner's withdrawals during the year?

• A)$72,000
• B)$33,000
• C)$147,000
• D)$30,000

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Definitions:

Garage

A building or secured area designed for the storage of vehicles, typically part of a house or situated on residential property.

Bailment for Reward

A legal relationship where personal property is transferred from one party (bailor) to another (bailee) for a specific purpose, with compensation involved.

Exclusivity of Possession

The legal right granted to a tenant or lessee to use and possess a property to the exclusion of others, including the landlord under certain agreements.

Common Law

A set of laws that are not codified but are based on previous judicial decisions and court precedents.