Answer and Explanation:
The preparation of the partner capital statement and the owner equity section is presented below:
<u>Partner capital statement </u>
<u>Particulars N. Payne Ann Dody Total</u>
Beginning
balance $18,900 $24,000 $42,900
Less: Drawings -$8,700 -$5,200 -$13,900
Balance left $10,200 $18,800 $29,000
Add: Net income
share 50% 50% $14,350 $14,350 $28,700
ending balance $24,550 $33,150 $57,700
Now the balance sheet is
<u>Sunland Co,</u>
<u>Partial balance sheet</u>
<u>Dec 31,2020</u>
<u>Owner capital</u>
Partner capital balance $29,000
Add: Net income $28,700
Total owner equity $57,700
