On March 1, 2017, Eckert and Kelley formed a partnership. Eckert contributed $76,000 cash and Kelley contributed land valued at $60,800 and a building valued at $90,800. The partnership also assumed responsibility for Kelleys $66,000 long-term note payable associated with the land and building. The partners agreed to share income as follows: Eckert is to receive an annual salary allowance of $31,000, both are to receive an annual interest allowance of 9% of their beginning-year capital investment, and any remaining income or loss is to be shared equally. On October 20, 2017, Eckert withdrew $30,000 cash and Kelley withdrew $23,000 cash. After the adjusting and closing entries are made to the revenue and expense accounts at December 31, 2017, the Income Summary account had a credit balance of $82,000. Required: 1a. & 1b. Prepare journal entries to record the partners' initial investments and their subsequent cash withdrawals. 1c. Determine the partners' shares of income, and then prepare journal entries to close Income Summary and the partners' Withdrawals accounts. 2. Determine the balances of the partners capital accounts as of December 31, 2017.

Date	General Journal	Debit	Credit
Mar 01, 2017

Date	General Journal	Debit	Credit
Oct 20, 2017

Allocation of Partnership Income
	Eckert	Kelley	Total
Net Income
Salary allowances			0
Balance of income
Interest allowances			0
Balance of income
Balance allocated equally			0
Balance of income			$0
Shares of the partners	$0	$0
Date	General Journal	Debit	Credit
Record the entry to close the partners' withdrawals accounts.
Dec 31, 2017
Record the entry to close the income summary account.
Dec 31, 2017

Capital Account Balances	Eckert	Kelley
Initial investment
Withdrawals
Share of income
Ending balances	$0	$0