What is the closing entry to allocate a net income of $48,000 to Sara, Ellen, and Mary? Respective capital balances are $30,000, $40,000, and $30,000. No agreement was made for division of income.

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Mathematics

16 October, 07:38

What is the closing entry to allocate a net income of $48,000 to Sara, Ellen, and Mary? Respective capital balances are $30,000, $40,000, and $30,000. No agreement was made for division of income.

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Answers (2)

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Semaj Pope · Answer 1

The answer to your question is:

Debit Income Summary $48,000; credit Sara's Capital $16,000; credit Ellen's Capital $16,000; credit Mary's Capital $16,000.

Kyle Moss · Answer 2

Kyle Moss 16 October, 08:07

0

20,000 may be right possibly