The partnership of Dinney and Graddy reports the following information:

Steve Dinney withdrew cash of $150,000 for personal use.

Jim Graddy withdrew cash of $121,000 during the year.

Net income is $264,000.

The first $132,000 is shared based on the partner capital investments

(Dinney $104,000 and Graddy $160,000).

The next $100,000 is shared based on partner service, with

Dinney receiving 70 percent and Graddy receiving 30 percent. The remainder is shared equally.

Journalize the entries on December 31 to close to each Capital account with the net income to the partners, and to close the partners' Withdrawal accounts. Explanations are not required. Indicate the amount of increase or decrease in each partner's Capital balance. What was the overall effect on partnership capital?