On March $1,$ Eckert and Kelley formed a partnership. Eckert contributed $$95,000$ cash, and Kelley contributed land valued at $$76,000$ and a building valued at $$106,000.$ The partnership also took Kelley's $$85,000$ long$-$term note payable associated with the land and building. The partners agreed to share income as follows: Eckert gets an annual salary allowance of $$29,000,$ both get an annual interest allowance of $11\%$ of their initial capital investment, and any remaining income or loss is shared equally. On October $20,$ Eckert withdrew $$32,000$ cash and Kelley withdrew $$25,000$ cash. First year income was $$81,000.$

Required:

$1$a$.$ & $1$b$.$ Prepare journal entries to record the partners' initial capital investments and their subsequent cash withdrawals.

$1$c$.$ Determine the partners' shares of income, and then prepare journal entries to close Income Summary and the partners' withdrawals accounts.

$2.$ Determine the balances of the partners' capital accounts as of December $31.$

Req $1$A and $1B$

Req $1C$

Prepare journal entries to record the partners' initial capital investments and their subsequent cash withdrawals.

$1$ Record the partners' initial capital investment.

$2$ Record the cash withdrawal of Eckert $($$$32,000)$ and Kelley $($$$25,000).$

Determine the partners' shares of income, and then prepare journal entries to close Income Summary and the partners' withdrawals accounts.

Note: Enter all allowances as positive values. Enter losses as negative values.

Show less $4$

$\backslash$table$[[,$Allocation of Partnership Income$],[,,$Eckert,Kelley,Total$],[,$Net Income$],[,$Salary allowances,,,$0],[,$Balance of income,$],[,$Interest allowances,,,$0],[,$Balance of income,$],[,$Balance allocated equally,,,$0],[,$Balance of income,$