Share Capital is the amount invested by the owners of business into the business.
Drawings is the amount withdrawn by the owners of business.
So it is not surprise to show the drawings from deduction from the share capital because net effect is the reduction of the share capital of the owners of the business.
Drawings are recorded as a reduction of owners equity at equity side of balance sheet.
asset
yes
asset side
It's only treated in income statement, not balance sheet.
The Drawings account is not an expense account. It is a contra equity account. Therefore, it appears on the balance sheet.
It would be a credit to bank and a debit to the capital account. Most of the time there will be a drawings account, but it will be by the capital in the balance sheet.
as liabilities
Loan is on balance sheet
In off-balance sheet financing assets are not shown in balance sheet while in balance sheet financing fixed assets shown in balance sheet.
Share is treated as liability. It is not treated as asset. shares is called as share capital. capital is entered in the liabilities side of the balance sheet.
Drawing is contra account for owners withdrawals and shown as a deduction from owners equity of all owners withdrawals from business from time to time.