- Rachael and Olivia are business partners in RO Dance. Their partnership agreement states that the partners will share income in a \\( 3: 1 \\) ratio (Rachael, Olivia). Part of the agreement includes a salary allowance of \\( \\$ 43,000 \\) for Rachael and \\( \\$ 26,000 \\) for Olivia. For the current year. RO Dance has a net loss of \\( \\$ 5,000 \\). The entries to close the income summary account after allocating the loss to the partners include - a debit to Rachael, Capital \\$12,500 and a credit to Olivia, Capital \\( \\$ 7,500 \\) - a credit to Rachael, Capital \\( \\$ 12,500 \\) and a debit to Olivia. Capital \\( \\$ 7,500 \\) - a debit to Rachael, Capital \\$12,500 and a debit to Oilvia, Capital \\$7,500 - a credit to Rachael, Capital \\$12,500 and a credit to Olivla. Capital \\$7,500 - None of these choices are correct