Mo, Lu, and Barb formed the MLB Partnership by making investments of $73,800, $287,000, and $459,200,...

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Mo, Lu, and Barb formed the MLB Partnership by making investments of $73,800, $287,000, and $459,200, respectively. They predict annual partnership net income of $487,500 and are considering the following alternative plans of sharing income and loss: (a) equally; (b) in the ratio of their initial capital investments; or (c) salary allowances of $82,800 to Mo, $62,100 to Lu, and $93,500 to Barb; interest allowances of 10% on their initial capital investments; and the remaining balance shared as follows: 20% to Mo, 40% to Lu, and 40% to Barb. 2. Prepare a statement of partners' equity showing the allocation of income to the partners assuming they agree to use plan (c), that income earned is $487,500; and that Mo, Lu, and Barb withdraw $38,100, $52,100, and $68,100, respectively, at year-end. Note: Do not round intermediate calculations. Enter all allowances as positive values. Enter losses as negative values. Initial partnership investments Net income Total net income Total MLB PARTNERSHIP Statement of Partners' Equity For Year Ended December 31 Mo Lu Barb Total 0 0 0 0 0 0 0 $ 0 $ 0 $ 0 $ 0 Mo, Lu, and Barb formed the MLB Partnership by making investments of $73,800, $287,000, and $459,200, respectively. They predict annual partnership net income of $487,500 and are considering the following alternative plans of sharing income and loss: (a) equally; (b) in the ratio of their initial capital investments; or (c) salary allowances of $82,800 to Mo, $62,100 to Lu, and $93,500 to Barb; interest allowances of 10% on their initial capital investments; and the remaining balance shared as follows: 20% to Mo, 40% to Lu, and 40% to Barb. 2. Prepare a statement of partners' equity showing the allocation of income to the partners assuming they agree to use plan (c), that income earned is $487,500; and that Mo, Lu, and Barb withdraw $38,100, $52,100, and $68,100, respectively, at year-end. Note: Do not round intermediate calculations. Enter all allowances as positive values. Enter losses as negative values. Initial partnership investments Net income Total net income Total MLB PARTNERSHIP Statement of Partners' Equity For Year Ended December 31 Mo Lu Barb Total 0 0 0 0 0 0 0 $ 0 $ 0 $ 0 $ 0