(Answered) The partnership of angel investor associates began

Accounting

The partnership of Angel Investor Associates began operations on January 1, 2014, with contributions from two partners as follows:

Dennis Overton $180,000

Ben Testerman 120,000

The following additional partner transactions took place during the year:

1. In early January, Randy Campbell is admitted to the partnership by contributing $75,000 cash for a 20% interest.

2. Net income of $150,000 was earned in 2014. In addition, Dennis Overton received a salary allowance of $40,000 for the year. The three partners agree to an income-sharing ratio equal to their capital balances after admitting Campbell.

3. The partners' withdrawals are equal to half of the increase in their capital balances from salary allowance and income.

Prepare a statement of partnership equity for the year ended December 31, 2014. If an amount is zero, enter in "0".

	Angel Investor Associates
	Statement of Partnership Equity
	For the Year Ended December 31, 2014
Dennis Overton, Capital	Ben Testerman, Capital	Randy Campbell, Capital	Total Partnership Capital
180000	120000		300000
0	0	75000	75000
40000			40000
220000	120000	75000	145000
180000	120000	75000	375000
40000	0	0	40000

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