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After closing the revenue and expense accounts, the profit for the year ended December 31, 2021 of the Mitt & Ryan partnership in $25,000. The

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After closing the revenue and expense accounts, the profit for the year ended December 31, 2021 of the Mitt & Ryan partnership in $25,000. The partnership agreement specifies that profits and losses will be shared using the following formula 1 Allocate profit by a 5% Interest allowance on the partners' beginning capital balances. 2. Allocate salary allowances of $19,590 to Mitt and $13,290 to Ryan. 3. Remaining profit (los) is to be shared on a ratio of 8:5. At the beginning of the year, Mitt's capital account had a balance of $31,100 and Ryan's capital account had a balance of $33,300. Mitt withdrew 51,040 cash per month while Ryan withdrew $1,240 per month from the partnership. During the year, Mitt made an additional investment of 55.200 cash into the partnership FULL SCREEN PRINTER VER MITT & RYAN Division of Profit Year Ended December 31, 2021 Ryan Mitt Profit Total Interest allowance Mitt Ryan Total Profit remaining for allocation Salary allowance Mitt Ryan Total Profit (deficiency) remaining for allocation Fixed ratio Mitt FULL SCREEN Total PRINTER VERE Profit (deficiency) remaining for allocation Fixed ratio Mitt Ryan Total Profit remaining for allocation Profit allocated to the partners $ LINK TO TEXT LINK TO TEXT FULL SCREEN PRINT Prepare a statement of partners' equity for the year. (List items that increase partner's equity first.) MITT & RYAN Statement of Partners' Equity Year Ended December 31, 2021 Mitt Ryan Total LINK TO TEXI LINK TO TEXT Prepare the remaining closing entries on December 31. (Credit account titles are automatically indented when the amount is entered. Do no manually.) Date Account Titles and Explanation Dec 31, 2021 Debit Credit (To close profit/loss to capital accounts) Dec. 31, 2021 (To close drawings account of partners) LINK TO TEXT LINK TO TEXT

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