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Question - For Starrite Co., beginning capital balances on January 1, 2010, are Gary Stark $20,000 and Jim Nyland $18,000. During the year, drawings were Stark $8,000 and Nyland $5,000. Net income was $30,000, and the partners share income equally.
Required -
(a) Prepare the partners' capital statement for the year.
(b) Prepare the owners' equity section of the balance sheet at December 31, 2010.
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