Prepare a statement of partners' equity for the year.

After closing the revenue and expense accounts, the profit for the year ended December 31, 2021 of the Mo & Molly partnership is $96,000. The partnership agreement specifies that profits and losses will be shared using the following formula. 1. Allocate salary allowances of $27,000 to Mo and $39,000 to Molly. 2. Remaining profit (Loss) is to be shared on a ratio of 2:1. At the beginning of the year, Mo's capital account had a balance of $30,000 and Molly's capital account had a balance of $28,000. Mo withdrew $1,200 cash per month while Molly withdrew $2,400 per month from the partnership. Prepare a schedule to show how the profit will be allocated to the two partners. MO & MOLLY Division of Profit Year Ended December 31, 2021 Mo Molly Profit $ Salary allowance Total $ 96,000 Mo 27,000 27,000 Molly 39,000 39,000 Total 27,000 39,000 66000 30000 Profit remaining for allocation Fixed ratio Mo 20000 Molly 10000 Total Profit remaining for allocation Profit allocated to the partners $ $ $ Statement of Partner's Equity Year Ended December 31, 2021 Particulars Mo Molly Total Capital at the Beginning of the Year ADD: Salary allowance ADD: LESS : Drawings Capital at the Closing of the Year