Tara Westmont, the proprietor of Tiptoe Shoes, had annual revenues of 200,000 expenses of 111,200, and withdrew 24,000 from the business during the current year.The owner's capital account before closing had a balance of 312,000 The ending owner's capital balance after closing is: Multiple Choice 88,800 64,800 400,800 376,800 200,000

To determine the ending owner's capital balance after closing, we need to calculate the net income and then adjust the owner's capital account for withdrawals.<br /><br />1. **Calculate Net Income:**<br /> \[<br /> \text{Net Income} = \text{Revenues} - \text{Expenses} = \$200,000 - \$111,200 = \$88,800<br /> \]<br /><br />2. **Adjust Owner's Capital Account:**<br /> The owner's capital account is adjusted by adding the net income and subtracting any withdrawals made during the year.<br /><br /> \[<br /> \text{Ending Owner's Capital} = \text{Beginning Owner's Capital} + \text{Net Income} - \text{Withdrawals}<br /> \]<br /><br /> Given:<br /> - Beginning Owner's Capital = \$312,000<br /> - Withdrawals = \$24,000<br /><br /> \[<br /> \text{Ending Owner's Capital} = \$312,000 + \$88,800 - \$24,000 = \$376,800<br /> \]<br /><br />Therefore, the ending owner's capital balance after closing is \(\$376,800\).<br /><br />The correct answer is: \(\$376,800\).