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partnership on January 1, 2018. d by each partner is as follows: Partnership Accounting 1. Helen and Troy formed a consulting partnership on Janu The fair value of the net assets invested by each partner is Helen Troy 13,000 12,000 Cash 8,000 Accounts receivable 6,000 800 2,000 Office Supplies 30,000 Office equipment 30,000 5,000 2,000 Land and building Accounts payable Mortgage payable 18,800 During the year, Troy withdrew $15,000 and Helen withdrew $12,000 in anticipation of operating profits. Net profit for 2018 was $50,000, which is to be allocated based on the original net capital investment. Required: A. Prepare journal entries to: the initial investment in the partnership by each partner. 2. Record the withdrawals in the capital accounts 3. Close the net profits to the capital accounts (use Income Summary for the non capital side of the entry) B. Prepare a Statement of Changes in Partnership Capital for the year ended December 31, 2018. form a partnership on January 1, 2018. Bert 0 000, while Ernie contributes $100,000 cash and a $200.000. The building is subject to a mortgage of $40,000, which is assumed by the partnership. They ag profits and losses equally. Profits for the 2018 year are Calculate Ernie's capital account on December 31, 2018 2. Bert and Ernie form a partnership on January contributes $50,000, while Ernie contribute building worth $200,000. The building is subi v the partnership. They agree to share Profits for the 2018 year are $75,000

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