Mark Malone, Pete Patton, and Sally Spencer formed a partnership on January 1, 2014. Their original capital investments ( cash) were $140,000, $160,000, and $100,000, respectively. During the first year of operations, Mark withdrew $30,000, and the partnership reported an income of $60,000. The partnership agreement stipulates that all income and losses are to be divided in the ratio of the original capital investments At the beginning of the second year the partners decided to liquidate the business because of a disagreement. The assets and liabilities on January 2, 2015, were as follows: Cash, $37,000; Accounts Renivable, $129,000; Inventory, $100,000; Land, $85,000; Building (net), $180,000; Furniture and Fixtures (net). $30,000; Accounts Payable, 74,000; and Mortgage Payable, $145,000. The inventory as sold for three quarters of its book value the future and fixtures brought $10,000 and $92000 of the accounts receivable were collected. The remaining receivables were uncollectible. After the losses were allocated according to the partnership agreement and the accounts payable were paid in full, Pete accepted the land and building a book value and assumed the mortgage payable at book value as partial settlement of his capital interest. The cash balance was then distributed to the partners (a) Prepare a statement of changes in partners t al for the year ended December 31, 2014 MALONE, PATTON, AND SPENCER Statement of Changes in Partners' Capital