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In the early part of 2024 , the partners of Hugh, Jacobs, and Thomas sought assistance from a local accountant. They had begun a new

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In the early part of 2024 , the partners of Hugh, Jacobs, and Thomas sought assistance from a local accountant. They had begun a new business in 2023 but had never used an accountant's services. Hugh and Jacobs began the partnership by contributing $90,000 and $40,000 in cash, respectively. Hugh was to work occasionally at the business, and Jacobs was to be employed full-time. They decided that year-end profits and losses should be assigned as follows: - Each partner was to be allocated 10 percent interest computed on the beginning capital balances for the period. - A compensation allowance of $7,000 was to go to Hugh with a $17,000 amount assigned to Jacobs. - Any remaining income would be split on a 4:6 basis to Hugh and Jacobs, respectively. In 2023, revenues totaled $115,000, and expenses were $87,000 (not including the partners' compensation allowance). Hugh withdrew cash of $6,000 during the year, and Jacobs took out $11,000. In addition, the business paid $7,500 for repairs made to Hugh's home and charged it to repair expense. On January 1, 2024, the partnership sold a 20 percent interest to Thomas for $44,000 cash. This money was contributed to the business with the bonus method used for accounting purposes. Required: c. What journal entries should the partnership have recorded on December 31, 2023? d. What journal entry should the partnership have recorded on January 1,2024 ? Complete this question by entering your answers in the tabs below. What journal entries should the partnership have recorded on December 31,2023 ? Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Journal entry worksheet Record entry to reclassify payment made to repair personal residence. Note: Enter debits before credits. Journal entry worksheet Record entry to close drawings accounts for 2023. Note: Enter debits before credits. What joumal entries should the partnership have recorded on December 31,2023 ? Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account fiels Journal entry worksheet Record entry to close revenue and expense accounts for 2023. Note: Enter debits before credits. What journal entries should the partnership have recorded on December 31,2023? Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Journal entry worksheet 1 Record the distribution of net income to partners. Note: Enter debits before credits. Journal entry worksheet Record the payment made by Thomas using the bonus method. Note: Enter debits before credits

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