Ries, Bax, and Thomas invested $$40,000,$ $$56,000,$ and $$64,000,$ respectively, in a partnership. During its first calendar year, the firm earned $$398,400.$

Required:

Prepare the entry to close the firm$$s Income Summary account as of its December $31$ year$-$end and to allocate the $$398,400$ net income under each of the following separate assumptions.

Problem $12-3$A $($Algo$)$ Part $3$

$3.$ The partners agreed to share income and loss by providing annual salary allowances of $$38,000$ to Ries, $$33,000$ to Bax, and $$45,000$ to Thomas; granting $10\%$ interest on the partners$$ beginning capital investments; and sharing the remainder equally.

Journal entry worksheet

$1$

Record the entry to close the income summary account assuming the partners have agreed to share income and loss by providing annual salary allowances of $$38,000$ to Ries, $$33,000$ to Bax, and $$45,000$ to Thomas; granting $10\%$ interest on the partners' beginning capital investments; and sharing the remainder eauallv.

Note: Enter debits before credits.

$\backslash$table$[[$Date$,$General Journal,Debit,Credit$],[\backslash$table$[[$December$],[31]],,,],[,,,],[,,,],[,,,],[,,,],[,,,]]$

Allocate $$398,400$ net income by providing annual salary allowances of $$38,000$ to Ries, $$33,000$ to Bax, and $$45,000$ to

Thomas; granting $10\%$ interest on the partners' beginning capital investments; and sharing the remainder equally.