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Problem 1: The Roten and Welborn Partnership incurred a loss of $30,000 for the current year. The beginning capital balances of the partners were respectively, $45,000 and $55,000. Prepare journal entries to transfer the loss to the partners' capital accounts based on the following agreements.
a) No mention of profit/loss agreementb) Salary of $40,000 to Roten and $20,000 to Welborn, balance divided in the ratio of 3:2c) Interest of 12% on beginning capital balances, balance divided in the ratio of 2:3
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