Petty cash (asset) $100 CR Proprietor's Acct (capital) $100 DR Owner's Withdrawal (capital acct) $100 CR
The reason I ask is because it doesn't balance as a single transaction. However, there was already money in petty cash. So, does this transaction need to balance?
Dan S. wrote on 4/16/2007 :
Rather,
Petty cash (asset) $100 CR Proprietor's Acct (capital) $100 CR Owner's Withdrawal (capital acct) $100 DR
Both your attempts don't make sense.
Peter Saxton used his keyboard to write :
How would one go about moving the money from petty cash out of the company? The accounts above are the only ones involved (unless you count the sales from whence the money came).
Dr Drawings (owners withdrawal) Cr Petty cash
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