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Exercise 15-2 Tom and Julie formed a management consulting partnership on January 1, 2016. The fair value of the net assets invested by each partner follows: Tom $13,300 7,700 1,900 32,000 Julie $11,600 6,600 900 Cash Accounts receivable Office supplies Office equipment Land Accounts payable Mortgage payable 2,100 30,500 5,200 17,500 During the year, Tom withdrew $15,500 and Julle withdrew $12,900 in anticipation of operating profits. Net profit for 2016 was $52,600, which is to be allocated based on the original net capital investment. (a) Prepare journal entries to: 1. Record the initial investment in the partnership. 2. Record the withdrawals 3. Close the Income Summary and Drawing accounts, (Round intermediate calculations to 6 decimal places, e.g. 1.576843 answers to o decimal places, e.g. 5,125. Credit account titles are automatically indented when amount is entered. Do not indent m entry is required, select "No Entry" for the account titles and enter o for the amounts.) No. Account Titles and Explanation Debit Credit 1. (To record initial investment by Tom) (b) Prepare a statement of changes in partners' capital for the year ended December 31, 2016. (Round answers to o decimal places, e.g. 5,125. List items that increase partners' capital first.) TOM AND JULIE PARTNERSHIP Statement of Changes in Partners' Capital For the Year Ended December 31, 2016 Tom Julie Total Totals SHOW LIST OF ACCOUNTS

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