The Assets of Mitchell's Business Increased by $60 000 and the Liabilities

Multiple Choice

The assets of Mitchell's business increased by $60 000 and the liabilities increased by $20 000 during the current year. If the profit for this period was $48 000, what additional contribution or withdrawal was made by the owner? (Assume only a withdrawal or a contribution was made.)

A) Drawings $12 000
B) Contribution $12 000
C) Contribution $8000
D) Drawings $8000