A proprietor withdraws cash from the business for private use, he
A. credits cash account and debits bank account B. credits cash account and debits drawing A/C C. debits cash account and credits drawings account D. debits bank account and credits drawings account
Correct Answer: B
Explanation
When a proprietor withdraw cash for private use, himself or owner's use, it is regarded as drawings. The account involve is cash and drawings account. Therefore, the cash account gives while the drawings account receives.
