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I've seen article after article explaining the owner equity accounts for an s-corp,  the simplest suggesting two accounts: contributions (initial investment and additional paid-in capital) and distributions (cash paid out and reported on Schedule K-1).  It is always mentioned that additional paid-in capital can be cash or non-cash contributions.  The QB site contains instructions on recording cash contributions (which increase both the bank account balance and the owner equity balance), but not non-cash, inventory contributions.  Yours is the first suggestion I have seen that there are no owner equity accounts for an s-corp.  Can you explain any further?

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