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On January 1, 2020, Rita, Maria and Lisa formed RML, with capital balances of $100,000 $30,000 and $40,000 respectively. During 2020, Lisa and Maria made
On January 1, 2020, Rita, Maria and Lisa formed RML, with capital balances of $100,000 $30,000 and $40,000 respectively. During 2020, Lisa and Maria made additional investments of $4,000 and $8,000 respectively. In addition, Maria's drawings were $10,000, Rita's drawings were $4,000 and Lisa's drawings were $2,000. Rita, Maria and Lisa share profits and losses in the ratio 4:2:1. On December 31, 2020 net income was $70,000. Maria's capital balance on December 31, 2020 is: $136,000 $70,000 O $52,000 O $48,000 None of the above Lisa's capital balance on December 31, 2020 is: * O $136,000 O $70,000 $52,000 O $48,000 O None of the above Rita's capital balance on December 31, 2020 is: * $136,000 $70,000 $52,000 $48,000 None of the above
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