Thank you so much for your detailed response. For bookkeeping, I would credit the capital account (when the expenses were paid with the personal funds during start up) and then as he draws money as repayment I would debit the capital account, right?
On another note , the year end entry to close out RE would be to debit RE and credit the capital account when there is a profit to increase the shareholder basis?
are my debits and credits right ?
I have no experience with this and am learning as I go. I appreciate your help a lot
