Grow Rite is a partnership owned by T. Tree and B. Branch. At January 1, 2022...

 

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Grow Rite is a partnership owned by T. Tree and B. Branch. At January 1, 2022 the partner's capital accounts were: T. Tree, $26,500 and B. Branch $19,300. During 2022, Tree contributed $5,500 in cash to the business and Branch contributed $7000. Each partner withdrew $2,000 during the year and the net income was $60,000. The partners share net income based on the following income ratio: $8000 each (Salary) 2:1 ratio (Tree:Branch) for the remainder. Instructions Prepare the Statement of Partners' Equity for the year ended December 31, 2022. Grow Rite is a partnership owned by T. Tree and B. Branch. At January 1, 2022 the partner's capital accounts were: T. Tree, $26,500 and B. Branch $19,300. During 2022, Tree contributed $5,500 in cash to the business and Branch contributed $7000. Each partner withdrew $2,000 during the year and the net income was $60,000. The partners share net income based on the following income ratio: $8000 each (Salary) 2:1 ratio (Tree:Branch) for the remainder. Instructions Prepare the Statement of Partners' Equity for the year ended December 31, 2022.

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