Faith Busby and Jeremy Beatty started the B&B partnership on January 1, Year 1. The business acquired $101,500 cash from Busby and $188,500 from Beatty. During Year 1, the partnership earned $69,700 in cash revenues and paid $32,500 for cash expenses. Busby withdrew $2,900 cash from the business, and Beatty withdrew $6,000 cash. The net income was allocated to the capital accounts of the two partners in proportion to the amounts of their original investments in the business. Required Prepare an income statement, capital statement (statement of changes in equity), balance sheet, and statement of cash flows for B&B's Year 1 fiscal year. Complete this question by entering your answers in the tabs below. Income Capital Statement Statement Prepare the income statement. Balance Sheet Stmt of Cash Flows
Faith Busby and Jeremy Beatty started the B&B partnership on January 1, Year 1. The business acquired $101,500 cash from Busby and $188,500 from Beatty. During Year 1, the partnership earned $69,700 in cash revenues and paid $32,500 for cash expenses. Busby withdrew $2,900 cash from the business, and Beatty withdrew $6,000 cash. The net income was allocated to the capital accounts of the two partners in proportion to the amounts of their original investments in the business. Required Prepare an income statement, capital statement (statement of changes in equity), balance sheet, and statement of cash flows for B&B's Year 1 fiscal year. Complete this question by entering your answers in the tabs below. Income Capital Statement Statement Prepare the income statement. Balance Sheet Stmt of Cash Flows
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter12: Accounting For Partnerships And Limited Liability Companies
Section: Chapter Questions
Problem 3PA
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Transcribed Image Text:Faith Busby and Jeremy Beatty started the B&B partnership on January 1, Year 1. The business acquired $101,500 cash from Busby and
$188,500 from Beatty. During Year 1, the partnership earned $69,700 in cash revenues and paid $32,500 for cash expenses. Busby
withdrew $2,900 cash from the business, and Beatty withdrew $6,000 cash. The net income was allocated to the capital accounts of
the two partners in proportion to the amounts of their original investments in the business.
Required
Prepare an income statement, capital statement (statement of changes in equity), balance sheet, and statement of cash flows for B&B's
Year 1 fiscal year.
Complete this question by entering your answers in the tabs below.
Income
Capital
Statement Statement
Balance Stmt of Cash
Sheet
Flows
Prepare the income statement.
B&B PARTNERSHIP
Income Statement
For the Year Ended December 31, Year 1
< Income Statement
Capital Statement >
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