Complete the journal entry for all transaction including calculation.

Calculation must be shown with this formate below

Brady, Manning and McNabb

Statement of Partners' Equity F

or the years ending December 31, 2014-2016

2014 Brady Manning McNabb Total

Balance, Jan. 1

Add: Investments

Net Income

Subtotal

Less: Drawings

Balance, Dec. 31

2015

Balance, Jan. 1

Add: Investments

Net Income

Subtotal

Less: Drawings

Balance, Dec. 31

2016

Balance, Jan. 1

Add: Buyout

Net Loss

Balance, Dec. 31

2015

Brady Manning McNabb Total

Income Ratio5:4:3

Net Income

Income Distribution

Salary

Net Income allocated PRIOR to ratio application

Net Income to be allocated based on income ratio

Share of income based on income ratio

Total allocation of net income

2017

Balance Sheet Before Liq After Liq

Assets

Cash

Equipment

A/R

Liabilities & Equity

Accounts Payable

Brady, Capital

NcNabb, Capital

Questions are here and record these on the journal make sure to show calculation

2014

February 1- Brady and Manning decide to start up a partnership. Brady brings in $10 000 cash and equipment costing $60 000, with $17 000 in the accumulated depreciation account. The fair market value of the equipment is $37 000. Manning brings $54 000 in cash. They agree to an income ratio of 5:4.

December 31- The business records a net income of $24 000, and Brady has a debit balance of

$16 000 in his drawings account.

a) The journal entry to establish the partnership.

b) The entry to allocate the net income to the partners' capital accounts.

c) A Statement of Partners' Equity for 2014.

2015

January 1- McNabb joins the partnership by contributing $46 000 in cash. A new partnership agreement is drawn up. Brady, Manning and McNabb agree to salaries of $5 000 for each partner and a 5:4:3 income ratio.

December 31- The business recorded a net income of $30 000. Brady had drawings of $20 000 and Manning had drawings of $4 000.

a) The entry to admit the new partner into the business.

b) The entry to allocate the net income to the partners' capital accounts.

c) a Statement of Partners' Equity for 2015.

2016

January 1- Manning decides to leave the partnership. McNabb agrees to pay Manning $73 000 in a private transaction for his entire share in the business. The result is that all of Manning's equity will be transferred to McNabb. The income or loss will now be divided equally (50-50) between Brady and McNabb. There will be no salary.

December 31- The business recorded a net loss of $46 000. There were no drawings. Show the entry to allocate the net income to the partners' capital accounts. a Statement of Partners' Equity for 2016.

a) The entry to record the departure of Manning.

b) The entry to allocate the net income to the partners' capital accounts.

c) a Statement of Partners' Equity for 2016.

2017

January 1- The partners decide to liquidate the partnership. They have the following balances:

Cash$29,917

Accounts Receivable $4 500

Equipment $ 110 000

Accumulated Depreciation $ 25 000

Accounts Payable $ 4 417

The partners were able to collect $3 500 of the accounts receivable and sell the equipment for $72 000.

a) All journal entries to dissolve the partnership.

When completing this liquidation, if your balance sheet does not balance because your capital balances are different, then adjust the cash figure to an amount that would allow the balance sheet to balance before you start the liquidation process.