Question

drawing account represents.​

Answer 1

Answer:

A drawing account is an accounting record maintained to track money withdrawn from a business by its owners. A drawing account is used primarily for businesses that are taxed as sole proprietorships or partnerships.

Answer 2

ANSWER :

❖ In accounting, Drawing Account represents the amount of goods or amount of cash withdrawn by the proprietor or owner of the business for his personal use or any private purpose.

• ❍ When the owner or proprietor of the business withdraw goods or cash from the business for his personal use or any kind of private purpose; it is termed as "Drawings".

• ❍ For recording the transaction of Drawings, an account is prepared which is known as Drawing Account.

• ❍ Drawing Account records the transaction of drawings; that means, the transaction of cash or goods withdrawn by the proprietor from the business for private purpose.

• ❍ While preparing final accounts, the amount of Drawings is deducted from the amount of Capital.