The Beginning Balance in the Capital Account of a Company

question 77

True/False

The beginning balance in the Capital account of a company was $10,000. The revenues and expenses were $200,000 and $120,000, respectively. The owner withdrew $4,000 during the year. The ending balance in the Capital account was $86,000.

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Definitions:

Harvest

The act of gathering mature crops from the fields, or by extension, reaping the benefits or results of any activity.

Investment Return

Investment return is the gain or loss on an investment over a specified time period, typically expressed as a percentage of the investment's initial cost.

Customer Acquisition Cost

the total cost associated with acquiring a new customer, including marketing and sales spending.

Marginal Cost

The expenditure involved in creating one more unit of a product or service.