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Question - Blossom Company had the following assets and liabilities on the dates indicated.
December 31
Total Assets
Total Liabilities
2019
$491,000
$227,000
2020
$551,000
$277,000
2021
$681,000
$377,000
Blossom began business on January 1, 2019, with an investment of $96,000.
Required - From an analysis of the change in owner's equity during the year, compute the net income (or loss) for:
(a) 2019, assuming Blossom's drawings were $23,000 for the year.
(b) 2020, assuming Blossom made an additional investment of $42,000 and had no drawings in 2020.
(c) 2021, assuming Blossom made an additional investment of $25,000 and had drawings of $34,000 in 2021.
HI6028 Taxation Theory, Practice & Law Assignment. Calculate his net capital gain or net capital loss for the year
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