Faith Busby and Jeremy Beatty started the B&B partnership on January $1,$ Year $1.$ The business acquired $$62,000$ cash from Busby and $$138,000$ from Beatty. During Year $1,$ the partnership earned $$65,600$ in cash revenues and paid $$40,850$ for cash expenses. Busby withdrew $$3,500$ cash from the business, and Beatty withdrew $$3,500$ cash. The net income was allocated to the capital accounts of the two partners in proportion to the amounts of their original investments in the business.