What is A Non Contra Equity Account






Non Contra Equity Account In Accounting
A Non Contra Equity Account is added to the Equity Account or Owner’s Equity Account in case of Sole Proprietorship or Partnership as it is the opposite of Contra Equity Account. For company or corporation, examples are Share Capital, Share Premium, Net Income and in case of Sole Proprietorship or Partnership, Fresh or Further Capital Introduced and Net Profit / Income.










These are added to the equity or owner equity in order to calculate the closing equity or closing capital for the accounting period.



Comments

Post a Comment