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Help Sa On March 1, Eckert and Kelley formed a partnership. Eckert contributed $88,000 cash, and Kelley contributed land valued at $70,400 and a building

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Help Sa On March 1, Eckert and Kelley formed a partnership. Eckert contributed $88,000 cash, and Kelley contributed land valued at $70,400 and a building valued at $100,400. The partnership also took Kelley's $78,000 long-term note payable associated with the land and building. The partners agreed to share income as follows: Eckert gets an annual salary allowance of $31,000, both get an annual interest allowance of 10% of their initial capital investment, and any remaining income or loss is shared equally. On October 20, Eckert withdrew $31,000 cash and Kelley withdrew $24,000 cash. After adjusting and closing entries are made to the revenue and expense accounts at December 31, the Income Summary account had a credit balance of $90,000 Required: 1a. & 1b. Prepare journal entries to record the partners' initial capital investments and their subsequent cash withdrawals. 1c. Determine the partners' shares of income, and then prepare journal entries to close Income Summary and the partners' withdrawals 2. Determine the balances of the partners' capital accounts as of December 31. accounts. Complete this question by entering your answers in the tabs below. Reg 1A and 1B Reg 1c Reg 2 rices Prepare journal entries to record the partners initial capital investments and their subsequent cash withdrawals. View transaction list View Journal entry worksheet No Credit Date Mar 01 1 General Journal Cash Land Building Long-term note payable Eckert, Capital Kelley, Capital Debit 88,000 70,400 100,400 78,000 It does not indicate Determine the partners' shares of income, and then prepare journal entries to close Income Summary and the partners withdrawals accounts. (Enter all allowances as positive values. Enter losses as negative values.) Allocation of Partnership Income Eckert Net Income Kelley Total $ 58,000 Salary allowances Balance of income Interest allowances Balance of income Balance allocated equally Balance of income Shares of the partners 200,000 $40,000 98,000 114,500 9.900 16,500 85,500 6,600 42.750 42,750 85,500 $ 0 $92,650 107 350 Debit Credit Date General Journal Record the entry to close the partners' withdrawals accounts Dec 31 Record the entry to close the income summary account. Dec 31 w Determine the balances of the partners' capital accounts as of Decembr 31. Capital Account Eckert Balances Kelley Initial investment Withdrawals Share of income Ending balances $ 0 $ 0 ROQ 17 of 20 !!! It does not indicate Determine the partners' shares of income, and then prepare journal entries to close Income Summary and the partners withdrawals accounts. (Enter all allowances as positive values. Enter losses as negative values.) Allocation of Partnership Income Eckert Net Income Kelley Total $ 58,000 Salary allowances Balance of income Interest allowances Balance of income Balance allocated equally Balance of income Shares of the partners 200,000 $40,000 98,000 114,500 9.900 16,500 85,500 6,600 42.750 42,750 85,500 $ 0 $92,650 107 350 Debit Credit Date General Journal Record the entry to close the partners' withdrawals accounts Dec 31 Record the entry to close the income summary account. Dec 31 w Determine the balances of the partners' capital accounts as of Decembr 31. Capital Account Eckert Balances Kelley Initial investment Withdrawals Share of income Ending balances $ 0 $ 0 ROQ 17 of 20 !!!

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