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McGilland Smyth have capital balances on January 1 of $ 60.000 and $ 31,000, respectively. The partnership income sharing agreement provides for (1) annual salaries of $ 25,000 for McGill and $ 15,000 for Smyth (2) interest at 12% or beginning capital balances, and (3) remaining income or loss to be shared 60% by McGill and 40% by Smyth Your answer is partially correct. Prepare a schedule showing the distribution of net income, assuming net income is $ 86,000. Of an amount reduces the secount balance then enter with a negative sign preceding the number or parenthesis, eg.-15,000,(15,000). DIVISION OF NET INCOME McGill Smyth Total Salary allowance S 25000 $ 15000 5 000 Interest allowance Total salaries and interest Remaining income deficiency Total division of net income 5 Bocco Prepare a schedule showing the distribution of net income, assuming net income is $20,000. (If an amount reduces the account balance then enter with a negative sign preceding the number or parenthesis, e.g.-15,000,(15,000).) DIVISION OF NET INCOME McGill Smyth Total Salary allowance $ $ $ Interest allowance Total salaries and interest Remaining income/ deficiency Total division of net income $ $ $ e Textbook and Media Save for Later Attempts: 2 of 5 used Submit Answer (b) Journalize the allocation of net income in each of the situations above. (Credit account titles are automatically indented when amount is entered. Do notindent manually. Record entries in the order presented in the previous part.) No. Account Titles and Explanation Debit Credit 1. 2. For Ivanhoe Co., beginning capital balances on January 1, 2022, are Nancy Payne $23,800 and Ann Dody $22,200. During the year, drawings were Payne $8,200 and Dody $4,000. Net income was $33,800, and the partners share income equally, (a) Prepare the partners' capital statement for the year. (List items that increase partners' capital first.) IVANHOE CO. Partners' Capital Statement N. Payne A. Dody Total $ $ $ Taythool and Modi Prepare the owners' equity section of the balance sheet at December 31, 2022. IVANHOE CO. Partial Balance Sheet $ $ e Textbook and Media