Question

choose the currect answers
Cash withdrawn for personal use is known as
1 drawings
2 payment
3 profit
4 all of above ​

Answer 1

Drawings are the amounts taken by the owner of a business for his personal use in anticipation of profit. Drawings are usually made in the form of cash, but there could be other assets or goods withdrawn by the owner for his personal use.

Journal Entry will be:-

Drawing A/c Dr. 

   To Bank A/c.

Hope it helps you dude.....(^_^)