Question & Answer: Required information Problem 12-3A Allocating partnership income LO P2 [The following information applies to the questions displayed bel…..

Required information Problem 12-3A Allocating partnership income LO P2 [The following information applies to the questions displayed belowj 3 of 3 Kara Ries, Tammy Bax, and Joe Thomas invested $34,000, $50,000, and $58,000, respectively, in a partnership. During its first calendar year, the firm earned $367,500. Prepare the entry to close the firm’s Income Summary account as of its December 31 year-end and to allocate the $367,500 net income to the partners under each of the following separate assumptions: Book rint rences Problem 12-3A Part 3 3) The partners agreed to share income and loss by providing annual salary allowances of $35,000 to Ries, $30,000 to Bax, and $42,000 to Thomas, granting 10% interest on the partners’ beginning capital investments, and sharing the remainder equally Bax Total Ries omas Supporting Calculations Net income Salary allowances 367,500 107,000 35,00030,00042,000 ere to search