Instructions

The capital accounts of Hassan Khan and Dmitri Palovich have balances of $$877,500$ and $$710,800,$ respectively, on January $1,20Y4,$ the beginning of the fisca year. On July $10,$ Khan invested an additional $$25,000.$ During the year, Khan and Palovich withdrew $$110,000$ and $$150,000,$ respectively, and net income for the year was $$325,000.$ Revenues were $$1,260,000,$ and expenses were $$935,000.$ The articles of partnership make no reference to the division of net income.

a$.$ Journdilize the entries to close $(1)$ the revenues and expenses and $(2)$ the drawing accounts on December $31.$

b$.$ Prepare a statement of partnership equity for the current year for the partnership of Khan and Palovich.Instructions

The capital accounts of Hassan Khan and Dmitri Palovich have balances of $$877,500$ and $$710,800,$ respectively, on January $1,20Y4,$ the beginning of the fisca year. On July $10,$ Khan invested an additional $$25,000.$ During the year, Khan and Palovich withdrew $$110,000$ and $$150,000,$ respectively, and net income for the year was $$325,000.$ Revenues were $$1,260,000,$ and expenses were $$935,000.$ The articles of partnership make no reference to the division of net income.

a$.$ Journdilize the entries to close $(1)$ the revenues and expenses and $(2)$ the drawing accounts on December $31.$

b$.$ Prepare a statement of partnership equity for the current year for the partnership of Khan and Palovich.