All the lessons on this site and much, much more...

Accounting Basics: Complete Guide

Available Now On

Get Your Degree!

Find schools and get information on the program that’s right for you.

Powered by

Subscribe to
The Student Accountant newsletter

Enter Your E-mail Address
Enter Your First Name (optional)

Don't worry — your e-mail address is totally secure.
I promise to use it only to send you The Student Accountant.

Owner's Equity Decrease?

by Sandra

Q: If an owner withdraws $200 of office supplies for personal use is this a decrease in office supplies AND a decrease in owner's equity?

A: Yes it is. The name for a decrease in owner's equity due to withdrawing assets is "drawings."

The journal entry would be:

DR Drawings (decrease in equity)
CR Office supplies (asset)

Click here to post comments

Return to Ask a Question About This Lesson!.

Enjoying this Website?
Help Support it with a Donation


Advertise on

More To Explore