The condensed, adjusted trial balance of the Kirby and Simon Partnership as at December 31, 2013, appears below: The partnership agreement stipulates that a division of partnership profit or loss is to be made as follows:
1. A salary allowance of $310,000 to Kirby and $250,000 to Simon.
2. The remainder is to be divided equally.
Instructions
a. Prepare a schedule which shows the division of profit to each partner.
b. Prepare the closing entries for the division of profit and for the drawings accounts at December 31, 2013.

Question

The condensed, adjusted trial balance of the Kirby and Simon Partnership as at December 31, 2013, appears below:  The partnership agreement stipulates that a division of partnership profit or loss is to be made as follows:
1. A salary allowance of $310,000 to Kirby and $250,000 to Simon.
2. The remainder is to be divided equally.
Instructions
a. Prepare a schedule which shows the division of profit to each partner.
b. Prepare the closing entries for the division of profit and for the drawings accounts at December 31, 2013.

Quizplus · Accepted Answer

The Answer of The condensed, adjusted trial balance of the Kirby and Simon Partnership as at December 31, 2013, appears below:  The partnership agreement stipulates that a division of partnership profit or loss is to be made as follows:
1. A salary allowance of $310,000 to Kirby and $250,000 to Simon.
2. The remainder is to be divided equally.
Instructions
a. Prepare a schedule which shows the division of profit to each partner.
b. Prepare the closing entries for the division of profit and for the drawings accounts at December 31, 2013.

The Condensed, Adjusted Trial Balance of the Kirby and Simon