LLC is closing. Two partners: #1 has beginning negative capital account of 50K, #2 has positive of 60K (70%:30% capital share though, not sure how that happened). Final year income 70K. How this should be allocated and presented on members' K-1s? 

#1- gets 50K ordinary income (box 1) to bring his ending capital to zero

#2 – gets remaining 20K in box 1, but his ending capital now 70K, where is that going to bring his ending capital to zero. I believe on the individual level 20K income is taxable at ordinary, but 70K become ordinary loss?  

Would appreciate any help! Thank you