If the fixed capital balances method (method 2) is used to account for partnership equity, both the profit or loss and the partner's drawings are closed to the:
A) retained earnings account.
B) capital accounts.
C) profit or loss summary account.
D) profit distribution account.

Question

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The Answer of If the fixed capital balances method (method 2) is used to account for partnership equity, both the profit or loss and the partner's drawings are closed to the:
A) retained earnings account.
B) capital accounts.
C) profit or loss summary account.
D) profit distribution account.

If the Fixed Capital Balances Method (Method 2) Is Used