1. For Starrite Co., beginning capital balances on January 1, 2012, are Donna Noble $18,000 and Amy Bond $16,000. During the year, drawings were Noble $7,000 and Bond $4,000. Net income was $20,000, and the partners share income equally. Instructions Prepare the partners' capital statement for the year. 2. The net income for Lodi Co. for 2012 was $270,000. For 2012, depreciation on plant assets was $50,000, and the company incurred a gain on sale of plant assets of $12,000. Compute net cash provided by operating activities under the indirect method.