Owner Equity

The ownership interest in the business. The interest of owners equals total assets minus total liabilities and could be considered to be the claim of the owners against the assets of the business. Owner equity is increased by the retained net income of the business or reduced by net losses of the business. Owner equity is increased by the owner contributions (of cash or other assets) to the business and decreased by the owner withdrawals from the business. The actual name shown for the equity amounts will be different depending on the organizational structure of the business. (II-3, 5-7, 9-11, 13, 17, 19, 24, 39, 41; III-1, 8-10, 12)

Authorization Path: 2.2.5.2.43.1