Walt, Tau, and Wright decide to form a T-shirt design partnership. Anna Walt figures this T-shirt design business will help her other company, Nature Gnome Company, with any T-shirt design needs. Additionally, Tau and Wright have connections with many companies and can expand and grow this new partnership.

Each of the three partners contributes $15,000 cash to start up the WTW partnership. They agree to share profits in two steps. First, Tau will receive $21,000 and Wright will receive 527,000 because they will do most of the graphic design work. Any remaining profits or losses will be shared 1:2:3, respectively for Walt, Tau, and Wright. The business starts on January 1, 2025. On December 31, 2025, the business posted a loss of $30,000. Walt decides to withdraw from the partnership on December 31, 2025. Tau and Wright agree to give Walt $500 for her equity interest. This Quiz: 100 1: ble Cash Income Summary re itic th Walt, Capital p. CC Walt, Withdrawals re Tau, Capital Tau, Withdrawals Jar Wright, Capital xp Wright, Withdrawalsnt To record partners' contribution of cash. De To record partners' withdrawals of cash. To record withdrawal of Walt from the partnership.Bonus upon Walt's withdrawal Net income Net loss Partner contributions Partner withdrawals