The capital balance represents each partner's initial capital investment. Therefore, net income or net loss for $2022$ has not been closed to the partners' capital accounts.

$($a$)$

Net income is $$31,800.$ Income is shared $6$:$3$:$1.$

Net income is $$42,400.$ Niensted and Bolen are given salary allowances of $$15,900$ and $$10,600,$ respectively. The remainder is shared equally.

Net income is $$20,140.$ Each partner is allowed interest of $10\%$ on beginning capital balances. Niensted is given a $$15,900$ salary allowance. The remainder is shared equally.

$($b$)$

$($c$)$

Prepare a partners' capital statement for the year under assumption $(3)$ above. $($List items that increase partners capital first.$)$At the end of its first year of operations on December $31,2022,$ Cullumber Company's accounts show the following. The capital balance represents each partner's initial capital investment. Therefore, net income or net loss for $2022$ has not been closed to the partners' capital accounts.No$.$ Account Titles and Explanation Debit Credit $1.$ Income Summary A$.$ Niensted, Capital G$.$ Bolen, Capital K$.$ Sayler, Capital $2.3.$Prepare a schedule showing the division of net income under assumption $(3)$ above. $($If an amount reduces the account balance then enter with a negative sign preceding the number e$.$g$.\backslash (-15,000\backslash )$ or parenthesis e$.$g$.\backslash ((15,000)\backslash ).)$CULLUMBER COMPANY Partners' Capital StatementCULLUMBER COMPANY Partners' Capital Statement Art Niensted Greg Bolen Krista Sayler Total $\backslash (\backslash$$ $\backslash )\backslash (\backslash$$ $\backslash )\backslash (\backslash$$ $\backslash )\backslash (\backslash$$ $\backslash )$