The balance in the partner's capital account consists of the partner's initial investment plus the partner's share of partnership net income minus the partner's withdrawals.

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This statement is true. The partner's capital account reflects their initial investment, their share of the partnership's net income, and any withdrawals they have taken. This account shows the partner's ownership interest in the partnership and is important for determining how much each partner is entitled to receive when the partnership is dissolved or when profits are distributed.

The Balance in the Partner's Capital Account Consists of the Partner's