Hannah Roberts owns and operates Hannahs Pool Service Compan

Hannah Roberts owns and operates Hannah\'s Pool Service Company. On January 1, Hannah Roberts, Capital had a balance of $309,170. During the year, Hannah invested an additional $22,040 and withdrew $39,010. For the year ended December 31, Hannah\'s Pool Service Company reported a net income of $55,080. Prepare a statement of owner\'s equity for the year ended December 31. Hannah\'s Pool Service Company Statement of Owner\'s Equity For the Year Ended December 31 Hannah Roberts, capital, January 1 Investment during year Net income Withdrawals during year Increase in Owner\'s equity Hannah Roberts, capital, December 31

Solution

Solution-

Statement of owner equity for the year ended december 31

_____________________________________________________________

Note1 Increase in owner equity=Investment during the year + Net income - withdrawal during the year

=$22040+$55080 -$39010=$38110

Note 2- Hannah roberts capital december 31= Capital on January 1 + Increase in owner equity

=$309170 +$38110=$347280

Hannah Roberts Capital January 1	$309,170
Investment during the year	$22040
Net Income	$55080
Withdrawals during the year	$39010
Increase in the owner equity(Note1)	$38110
Hannah Roberts captital December 31(Note 2)	$347280