Groucho, Harpo, and Chico form a partnership on January $1,2021.$ Groucho contributes $$325,000,$ Harpo $$195,000,$ and Chico $$130,000$ to a business called Marx Brothers' Partnership. On a monthly basis, each partner is allocated income and is allowed to receive cash from the business in proportion to the capital they provided. Assume that Groucho receives $$6,600$ cash per month.

Required:

a$.$ Prepare the journal entry for the following transactions:

$($i$)$ The initial investment.

$($ii$)$ The monthly distribution amounts for each of the three partners.

$($iii$)$ The allocation of an annual net income of $$234,000.$ For purposes of this journal entry, assume Sales Revenue totaled $$351,000$ and that all expenses, totaling $$117,000,$ were recorded in a single account called Operating Expenses.

$($iv$)$ The closing of the drawings accounts at the end of the year.

b$.$ Prepare a Statement of Partners' Equity $($assume no additional investments made$).$

Complete this question by entering your answers in the table below.

Req a

Req $b$

Prepare a Statement of Partners' Equity $($assume no additional investments made$).$

$\backslash$table$[[$MARX BROTHERS' PARTNERSHIP$],[$Statement of Partners' Equity$],[$For the Year Ending December $31,2021],[,$Groucho,Harpo,Chico$],[$Investments$,$ January $1,2021],[,,,],[$Totals$],[,,,],[$Partners$\text{'}$ Equity, December $31,2021,,,]]$