Reference no: EM132588373
King Burger is a fast food restaurant operating as partnership firm of four individuals. The partners agree to share profit equally. The information regarding current year is as follows:
Watson Taylor Hayden Dravid
Capital $550,000 $600,000 $500,000 $650,000
Drawing 150,000 150,000 100,000 200,000
Net income for the year amounted to $2,500,000.
Instructions:
Question 1. How much must each of four partners report income on his income tax return?
Question 2. Prepare Statement of Partner's Equity for current year ended Dec 31, 2019?