If you use Zoho Books for partnerships, how do you organize partner accounts?

If you use Zoho Books for partnerships, how do you organize partner accounts?

There are a couple of ways I can think of doing this.
Method 1. Create an account per partner, and have sub accounts for each category.
  1. Expense
    1. Partner 1
      1. Computer Hosting
      2. Travel
      3. Food
      4. ...
    2. Partner 2
      1. Computer Hosting
      2. Travel
      3. Food
      4. ...
Method 2: Under each category, create sub accounts for each partner
  1. Expense
    1. Computer Hosting
      1. Partner 1
      2. Partner 2
    2. Travel
      1. Partner 1
      2. Partner 2
    3. Food
      1. Partner 1
      2. Partner 2
    4. ...
I have shown only the expense accounts in the examples above, but the same 2 methods hold for all equity, liability, and income accounts as well.
Does anyone recommend one method over the other for any reason?  Which of the two would make year end closing easier?  How about to generate K1 forms?

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