Cascade Company was started on January 1, Year 1, when it acquired $165,000 cash from the owners. During Year 1, the company earned cash revenues of $81,700 and incurred cash expenses of $61,100. The company also paid cash distributions of $6,000. Required Prepare a Year 1 income statement, capital statement (statement of changes in equity), balance sheet, and statemt of cash flows under each of the following assumptions. (Consider each assumption separately.) roblem 8-20A (Algo) Part b 1. Cascade is a partnership with two partners, Carl Cascade and Beth Cascade. Cari Cascade invested $57,750 and Beth Cascade invested $107,250 of the $165.000 cash that was used to start the business. Beth was expected to assume the vast majority of the responsibility for operating the business. The partnership agreement called for Beth to receive 65 percent of the profits and Carl to get the remaining 35 percent. With regard to the $6,000 distribution, Beth withdrew $3,900 from the business and Carl withdrew $2,100. Prepare a income statement for Year 1. Prepar a capital statement for Year 1. (Deductions should be indicated by a min Prepare a balance sheet for Year 1 . CASCADE COMPANY Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities