ABC is a partnership owned by Angus, Black, and Campini, who share profits and losses in the ratio of 2:1:1, respectively. The account balances of the partnership at June 30, 2018, follow:

ABC

Adjusted Trial Balance

June 30, 2018

Requirements
1. Prepare the June 30 entries to close the revenue, expense, income summary, and withdrawal accounts.
2. Open each partner's capital T-account with the adjusted balance, post the closing entries to their accounts, and determine each partner's ending capital balance.
3. Prepare the June 30 entries to liquidate the partnership assuming the non-cash assets are sold for $111,000?

Transcribed Image Text:

Balance Credit Account Title Debit $ 35,000 Cash Non-cash Assets 110,000 $ 32,000 Notes Payable 23,000 Angus, Capital Black, Capital 44,000 50,000 Campini, Capital 9,000 Angus, Withdrawals 31,000 Black, Withdrawals Campini, Withdrawals 46,000 166,000 Service Revenue Salaries Expense 69,000 Rent Expense 15,000 $ 315,000 $ 315,000 Total