Marvel Media, LLC has three members: WLKT Partners, Madison Sanders, and Observer Newspaper, LLC on January 1, 202, the three members had equity of $200,000,537 400 and $163,500, respectively WLKT Partners contributed an additional $48,100 to Marvel Media, LLC on June 1, 2012 Madison Sanders received an annual salary allowance of $59,700 during 2072 The members' equity accounts are also credited with 10% interest on each member's January 1 capital balance. Any remaining income is to be shared in the ratio of 433 among the three members members. The revenues, expenses, and net income for Marvel Media, LLC. for 20Y2 were 51.263,800, 891.900 and $371 700 respectively Amounts equal to the salary and interest aliowances were withdrawn by the members Required: A Determine the division of income among the three members B. Prepare the journal entries to close the net income and withdrawals to the individual member equity accounts Refer to the Chart of Accounts for exact wording of accountries c. Prepare a statement of membere equity for 2012 D. What are the advantages of an income-sharing agreement for the members of this LLC? A. Determine the division of income among the three members. Schedule of Division of Income WLKT Partners Madison Sanders Observer Newspaper, LLC Total 2 Salary allowance * Interest allowance - Remaining income (4:33) i Net income JOURNAL ACCOUNTING EQUATI DATE POST. REF DERIT CREDIT DESCRIPTION Closing Entries ASSETS LABILITIES 5 11 Statement of Members' Equity For the Year Ended December 31, 20Y2 W.KT Partners Madison Sanders Observer Newspaper, LLC Total 2 Balances, January 1, 20Y2 3 Capital additions + 5 Net income for the year 6 T Member withdrawals Balances. December 31, 2012 10 Marvel Media, LLC has three members: WLKT Partners, Madison Sanders, and Observer Newspaper, LLC on January 1, 202, the three members had equity of $200,000,537 400 and $163,500, respectively WLKT Partners contributed an additional $48,100 to Marvel Media, LLC on June 1, 2012 Madison Sanders received an annual salary allowance of $59,700 during 2072 The members' equity accounts are also credited with 10% interest on each member's January 1 capital balance. Any remaining income is to be shared in the ratio of 433 among the three members members. The revenues, expenses, and net income for Marvel Media, LLC. for 20Y2 were 51.263,800, 891.900 and $371 700 respectively Amounts equal to the salary and interest aliowances were withdrawn by the members Required: A Determine the division of income among the three members B. Prepare the journal entries to close the net income and withdrawals to the individual member equity accounts Refer to the Chart of Accounts for exact wording of accountries c. Prepare a statement of membere equity for 2012 D. What are the advantages of an income-sharing agreement for the members of this LLC? A. Determine the division of income among the three members. Schedule of Division of Income WLKT Partners Madison Sanders Observer Newspaper, LLC Total 2 Salary allowance * Interest allowance - Remaining income (4:33) i Net income JOURNAL ACCOUNTING EQUATI DATE POST. REF DERIT CREDIT DESCRIPTION Closing Entries ASSETS LABILITIES 5 11 Statement of Members' Equity For the Year Ended December 31, 20Y2 W.KT Partners Madison Sanders Observer Newspaper, LLC Total 2 Balances, January 1, 20Y2 3 Capital additions + 5 Net income for the year 6 T Member withdrawals Balances. December 31, 2012 10
