Bill Beck, Bruce Beck, and Barb Beck formed the BBB Partnership by making capital contributions 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 Bill, $62,100 to Bruce, and $93,500 to Barb; interest allowances of 10% on their initial capital investments; and the balance shared as follows: 20% to Bill, 40% to Bruce, and 40% to Barb. Bill, Bruce, and Barb withdraw $38,100, $52,100, and $68,100, respectively, at year-end.

Required:
1.	Use the table to show how to distribute net income of $487,500 for the calendar year under each of the alternative plans being considered. (Do not round intermediate calculations.)

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 $220,900, and that Bill, Bruce, and Barb withdraw $38,100, $52,100, and $68,100, respectively, at year-end. (Do not round intermediate calculations.)

Prepare the December 31 journal entry to close Income Summary assuming they agree to use plan (c) and that net income is $220,900. Also close the withdrawals accounts.