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Lone Psychic Experience is a sole proprietorship established this year. Alice Lone established the firm...

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Accounting

Lone Psychic Experience is a sole proprietorship established this year. Alice Lone established the firm with capital of $92,000. During the year she withdrew $22,000 as personal salary. Net income before tax for the year is $67,000. Alices average tax rate for income tax purposes is 25%.

Required 1: What is the balance of the equity account in the year end financial statements? $

Required 2: What is the balance of the equity account at the beginning of the first year? $

Required 3: What is the maximum amount Alice can withdraw during the first year of operations? $

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