why is owner's withdrawal recorded as a charge against cash out?

  • Thread starter Thread starter Guest
  • Start date Start date
G

Guest

A cashflow tempalte for small business shows that owner's withdrawal and/or
loan payment are not treated as cash out flow. whey not?
 
Just thinking back a few years, isn't cash out the company's cash,
owners have an account,something like owner's drawings, which is a
contra account, I think that is right somehow!
 

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