Purkerson, Smith, and Traynor have operated a bookstore for a number of years as a partnership....

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Accounting

Purkerson, Smith, and Traynor have operated a bookstore for anumber of years as a partnership. At the beginning of 2018, capitalbalances were as follows:
Purkerson $ 82,000
Smith 62,000
Traynor 30,000
Due to a cash shortage, Purkerson invests an additional $6,000in the business on April 1, 2018.
Each partner is allowed to withdraw $700 cash each month.
The partners have used the same method of allocating profits andlosses since the business's inception:
Each partner is given the following compensation allowance forwork done in the business: Purkerson, $14,000; Smith, $24,000; andTraynor, $4,000.
Each partner is credited with interest equal to 20 percent ofthe average monthly capital balance for the year without regard fornormal drawings.
Any remaining profit or loss is allocated 3:2:5 to Purkerson,Smith, and Traynor, respectively. The net income for 2018 is$24,000. Each partner withdraws the allotted amount eachmonth.
What are the ending capital balances for Purkerson, Smith, andTraynor for 2018?

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Particular Purkerson Smith Traynor Particular Purkerson Smith Traynor Withdrawal Drawings 70012 8400 8400 8400 Opening Balance 82000 62000 30000 Withdrawal Drawings 325 16710 See Answer

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Purkerson, Smith, and Traynor have operated a bookstore for anumber of years as a partnership. At the beginning of 2018, capitalbalances were as follows:Purkerson$82,000Smith62,000Traynor30,000Due to a cash shortage, Purkerson invests an additional $6,000in the business on April 1, 2018.Each partner is allowed to withdraw $700 cash each month.The partners have used the same method of allocating profits andlosses since the business's inception:Each partner is given the following compensation allowance forwork done in the business: Purkerson, $14,000; Smith, $24,000; andTraynor, $4,000.Each partner is credited with interest equal to 20 percent ofthe average monthly capital balance for the year without regard fornormal drawings.Any remaining profit or loss is allocated 3:2:5 to Purkerson,Smith, and Traynor, respectively. The net income for 2018 is$24,000. Each partner withdraws the allotted amount eachmonth.What are the ending capital balances for Purkerson, Smith, andTraynor for 2018?