At the end of its first year of operations on December 31, 2018, BIT Company's accounts show the following.

Partner Drawing Capital

Reese Caplin $23,000 $148,000

Phyllis Newell 14,000 130,000

Betty Uhrich 10,000 125,000

The capital balance represents each partners initial capital investment. Therefore, net income or net loss for 2018 has not been closed to the partners capital accounts.

Required: Using Excel

a) Prepare a schedule showing the division of net income under each of the following assumptions:

1. Net income is $ (Plug in the last 6 digits of your ID), and income is shared 5:3:2.

2. Net income is $ (Plug in the last 6 digits of your ID), Caplin and Uhrich are given salary allowance of $30,000 and $28,000, respectively, and the remainder is shared equality.

3. Net income is$ (Plug in the last 6 digits of your ID),; each partner is allowed interest of 10% on beginning capital balance; Caplin is given a $85,000 salary allowance and Newell is given a $90,000 ; and the remainder is shared equally

b) Journalize the entry to record the division of net income for 2018 under each of the above independent assumptions.