The adjusted trial balance of the Ricci and Napoli Partnership for the year ended December 31 2017 appears below: The partnership agreement stipulates that a division of partnership net income or net loss is to be made as follows:
1. A salary allowance of $12000 to Ricci and $23000 to Napoli.
2. The remainder is to be divided equally.
Instructions
(a) Prepare a schedule which shows the division of net income to each partner.
(b) Prepare the closing entries for the division of net income and for the drawings accounts at December 31 2017.

Question

The adjusted trial balance of the Ricci and Napoli Partnership for the year ended December 31 2017 appears below:  The partnership agreement stipulates that a division of partnership net income or net loss is to be made as follows:
1. A salary allowance of $12000 to Ricci and $23000 to Napoli.
2. The remainder is to be divided equally.
Instructions
(a) Prepare a schedule which shows the division of net income to each partner.
(b) Prepare the closing entries for the division of net income and for the drawings accounts at December 31 2017.

Quizplus · Accepted Answer

The Answer of The adjusted trial balance of the Ricci and Napoli Partnership for the year ended December 31 2017 appears below:  The partnership agreement stipulates that a division of partnership net income or net loss is to be made as follows:
1. A salary allowance of $12000 to Ricci and $23000 to Napoli.
2. The remainder is to be divided equally.
Instructions
(a) Prepare a schedule which shows the division of net income to each partner.
(b) Prepare the closing entries for the division of net income and for the drawings accounts at December 31 2017.

The Adjusted Trial Balance of the Ricci and Napoli Partnership