Garrison, Drawing account is classified as what type, and what is its increase side?

• A. None of the above; Dr.
• B. Asset, Dr.
• C. Equity, Cr.
• D. Expense, Dr

Answer: (A)

The Drawing account represents withdrawals by the owner and reduces owners’ equity. It is housed in the equity section, not an asset or an expense, and its normal balance is a debit, so increases are recorded on the debit side. At the end of the period, drawings are closed to the owner’s capital. So the correct concept is that Garrison’s Drawing is an equity account with an increase on the debit side. The provided options don’t state that exact pairing, but that’s the accurate understanding.