only C. note the check figure for the entry says 6,000 cannot get that amount.

CHAPTER 11 Partnerships ALTERNATE PROBLEMS Problem 11-1B Methods of allocating partnership profit LO3 Xcel CHECK FIGURE: C. Dr. Lister, Capital: $6,000 Phung, Moier, and Lister invested $130,000, $150,000, and $120,000, respectively, into an organic farm to res- taurant distribution business. During its first year, the firm earned $25,000. Required Prepare entries to close the firm's Income Summary account as of December 31 and to allocate the profit to the partners under each of the following assumptions. a. The partners did not specify any special method of sharing profit. b. The partners agreed to share profit and losses in the ratio of their beginning investments. c. The partners agreed to share profit by providing annual salary allowances of $75,000 to Phung, $40,000 to Moier, and $40,000 to Lister, allowing 20% interest on the partners' beginning investments, and sharing the remainder equally. Problem 11-2B Allocating partnership profits and losses; sequential years Lo3 excel CHECK FIGURES: d. Year 1: Bosch: $(25,750); Gilbert: $110,750; d. Year 2: Bosch: $190,750); Gilbert: $45,750; d. Year 3: Bosch: $105,750; Gilbert: $242,250 of forming a golf course equipment maintenance company. Bosch will