Income Allocated in Relation to Partnership Capital The partnership of Ace and Soy was formed on January 1, 2016, with each partner investing $20,000 cash. Changes in the capital accounts during 2016 are summarized as follows: Capital balances January 1, 2016 Investment April 1 Withdrawal July 1 Investment September 1 Withdrawal October 1 Investment December 31 Capital balances December 31, 2016 Ace $20,000 2,000 3,000 $25,000 Soy $20,000 (5,000) (4,000) 8,000 $19,000 ap ths X

Income Allocated in Relation to Partnership Capital The partnership of Ace and Soy was formed on January 1, 2016, with each partner investing $20,000 cash. Changes in the capital accounts during 2016 are summarized as follows