Ries, Bax, and Thomas invested $54,000, $70,000, and $78,000, respectively, in a partnership. During its first calendar year, the firm earned $401,400. Required: Prepare the entry to close the firms Income Summary account as of its December 31 year-end and to allocate the $401,400 net income under each of the following separate assumptions:

3. The partners agreed to share income and loss by providing annual salary allowances of $37,000 to Ries, $32,000 to Bax, and $44,000 to Thomas; granting 10% interest on the partners beginning capital investments; and sharing the remainder equally.

Allocate $401,400 net income allowances of $37,000 to Ries, $32,000 to Bax, and $44,000 to Thomas; granting 10% interest on the partners' beginning capital investments; and sharing the remainder equally. Ries Bax Thomas Total Supporting Calculations Net income Salary allowances Balance after salary allowances Interest allowances Balance after interest and salaries O O Balance allocated equally Balance of income Shares of the partners $ 0 $ 0 $ Prepare the entry to close the firm's Income Summary account as of its December 31 year-end. View transaction list Journal entry worksheet have agreed to share income and loss by providing annual salary allowances of $37,000 to Ries, $32,000 to Bax, and $44,000 to Thomas; granting 10% interest on the partners' beginning capital investments; and sharing the remainder equally. Note: Enter debits before credits. General Journal Debit Credit Date Dec 31 Record entry Clear entry View general journal