Required Information Problem 12-4A Partnership income allocation, statement of partners' equity, and closing entries LO P2 The following information applies to the questions displayed below) Mo, Lu, and Bart formed the MLB Partnership by making investments of $72,900, $283,500, and $453,600, respectively, They predict annual partnership net income of $481500 and are considering the following alternative plans of sharing Income and loss: (a) equally; (b) in the ratio of their initial capital investments; or ( salary allowances of $82,400 to Mo, $61,800 to Lu, and $93,000 to Barb; Interest allowances of 10% on their initial capital Investments, and the remaining balance shared as follows: 20% to Mo, 40% to Lu, and 40% to Barb. Problem 12-4A Part 1 Required: 1. Use the table to show how to distribute net income of $481,500 for the calendar year under each of the alternative plans being considered. (Do not round Intermediate calculations.) Income (Loss) Sharing Plan Mo Lu Bart Net Income (los) Balance allocated equally Balance of income ous Share to the partner Plan (b) Net Income (1) Balance allocated in proportion to iniinvestments Balance of income foss) Total $ 461,500 0 $ 481500 $ 0 Total $ 481,500 $ 0 $ $ 0 Lu Barb o 5 461,500 Inco (1) $ 481,500 481,500 0 $ 0 $ Os Net Income (1) Balance allocated equally Balance of income (los) Share to the partners PO Net Income (s) Balance allocated in proportion to initial investments Balance of income (0) Share to the partners TO $ 481,500 0 5 os 461,500 O $ $ 0 5 Me Lu Total 481,500 $ Net Income (los) Salary lowance Balance of income dow) Instances Balance of income (1) Balance allocated Balance of income) Shares of the partners 0 0 0 S 0 $ 05 5