Partnership Entries and Statement of Partners' Equity Instructions Instructions Chart of Accounts Labels and Amount Descriptions Journal The capital accounts of Lorraine Grecco and Carrie Rosenfeld have balances of $44,880 and $71,910, respectively, on January 1, 2014, the beginning of the fiscal year. On March 10, Grecco invested an additional $7,750. During the year, Grecco and Rosenfeld withdrew $30,730 and $38,870, respectively, and net income for the year was $62,000. Revenues were $483,000, and expenses were $421,000. The articles of partnership make no reference to the division of net income. Required: a. Journalize the entries to close (1) the revenues and expenses and (2) the drawing accounts on December 31. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. b. Prepare a statement of partnership equity for the current year for the partnership of Grecco and Rosenfeld. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. If a net loss is incurred or there is a decrease in partnership's equity, enter that amount as a negative number using a minus sign. Chart of Accounts CHART OF ACCOUNTS &takeAssignmentSession Locator=&inprogress=false CHART OF ACCOUNTS Grecco and Rosenfeld General Ledger ASSETS 110 Cash 111 Petty Cash 112 Accounts Receivable 113 Allowance for Doubtful Accounts 114 Interest Receivable 115 Notes Receivable 116 Inventory 117 Office Supplies 118 Store Supplies 119 Prepaid Insurance 120 Land 123 Equipment 124 Accumulated Depreciation-Equipment 129 Asset Revaluations REVENUE 410 Revenues 610 Interest Revenue EXPENSES 510 Cost of Merchandise Sold 520 Expenses 521 Advertising Expense 522 Depreciation Expense-Equipment 523 Delivery Expense 524 Repairs Expense 529 Selling Expenses 531 Rent Expense 533 Insurance Expense 534 Office Supplies Expense < 119 Prepaid Insurance 120 Land 123 Equipment 124 Accumulated Depreciation-Equipment 129 Asset Revaluations 133 Patent LIABILITIES 210 Accounts Payable 211 Salaries Payable 213 Sales Tax Payable 214 Interest Payable 215 Notes Payable 524 Repairs Expense 529 Selling Expenses 531 Rent Expense 533 Insurance Expense 534 Office Supplies Expense 535 Store Supplies Expense 536 Credit Card Expense 537 Cash Short and Over 538 Bad Debt Expense 539 Miscellaneous Expense 710 Interest Expense EQUITY 310 Lorraine Grecco, Capital 311 Lorraine Grecco, Drawing 312 Carrie Rosenfeld, Capital 313 Carrie Rosenfeld, Drawing Pr /ilm/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false Labels and Amount Descriptions Labels For the Year Ended December 31, 2014 December 31, 20Y4 Amount Descriptions Add partner withdrawals Additional investment during the year Balances, December 31, 20Y4 Balances, January 1, 20Y4 Balances after realization Balances before realization Net income for the year Net loss for the year Payment of liabilities Receipt of deficiency Sale of assets and division of gain Sale of assets and division of loss Withdrawals during the year ssignment/takeAssignmentMain.do?invoker=&takeAssignmentSession Locator=&inprogress Taise a. Journalize the entries to close (1) the revenues and expenses and (2) the drawing accounts on December 31. Refer to the chart of accounts for the ex account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals wi Indent a credit entry when a credit amount is entered. 1 3 5 6 7 JOURNAL ACCOUNTING DATE DESCRIPTION Closing Entries POST REF DEBIT CREDIT ASSETS LIABIL Check My Work 5 more Check My Work uses remaining Previous Next 143 0 Ps ENG 996 8/26/2 Statement of Partnership Equity b. Prepare a statement of partnership equity for the current year for the partnership of Grecco and Rosenfeld. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. If a net loss is incurred or there is a decrease in partnership's equity, enter that amount as a negative number using a minus sign. If an amount box does not require an entry, leave it blank. 1 2 4 5 6 Grecco and Rosenfeld Statement of Partnership Equity (Label) Check My Work 5 more Check My Work uses remaining. Lorraine Grecco Carrie Rosenfeld Total 2 Previous Next ENG 448