Whats the owners capital at the end of the year based on the statement? 1. capital, january 1 2017 $2,250.
2. additional investment fir the year $1,750.
3. net income for the year $3,500.
4. withdrawals for the year $(2,500)

$10,000

Explanation:

Owner's capital is calculated as = Owner's capital at the beginning of the period + Additional investment for the year + Net income - Drawings.

Given that ;

Owner's capital at the beginning = $2,250

Additional investment = $1,750

Net profit = $3,500

Drawings= ($2,500)

= $2,250 + $1,750 + $3,500 - (-$2,500)

= $10,000

Therefore, owner's capital at the end of the year is $10,000

cognitive overload: having a lot on your mind impairs decision-making and tends to result in the simplest, but not necessarily best, option being selected.

empathy gaps: overlooking how you might feel in a different situation can result in unnecessary purchases, such as overbuying when shopping for food on an empty stomach.

optimism and overconfidence: wearing rose-tinted glasses and having unrealistic expectations about the future can affect money management and leave you unprepared for a change in circumstance.

instant gratification: seeking instant gratification drives impulsive spending and can undermine long-term planning and savings.

harmful habits: automatic or mindless behaviour can amplify a poor financial decision as it becomes a recurring event.

social norms: we are heavily influenced by the actions of others; while this can be in certain circumstances, it also contributes to the pressure to keep up with the joneses through conspicuous consumption.