Question: Janet Kelly and Paul Sharp are partners in a merchandising business, Kelly Appliances. Forms for completing this problem are given in the Working Papers. The following information was taken from the records on December 31 of the current year.
Instructions: 1. On December 31, the partnership had a net income of $83,260.00. Prepare a distribution of net income statement for the partnership.
2. Prepare an owners' equity statement for Kelly Appliances. No additional investments were made.