Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Faith Busby and Jeremy Beatty started the B&B parthership on January 1, Year 1. The busines5 acquired $80,600 cash from Busby and $179,400 from Beatty.

image text in transcribed
image text in transcribed
image text in transcribed
Faith Busby and Jeremy Beatty started the B\&B parthership on January 1, Year 1. The busines5 acquired $80,600 cash from Busby and $179,400 from Beatty. During Year 1, the partnership eamed $67,000 in cash revenues and paid $29,250 for cash expenses. Busby Withdrew $1,800 cash from the business, and Beatty withdrew $4,100 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, balance sheet, and statement of cash flows for B\&B's. Year 1 fiscal year Note: For Statement of Cash Flows only, indicate amounts to be deducted and cash outflows with a minus sign. Round your profit sharing ratio to 2 decimal places and final answers to the nearest dollar amount. B\&B PARTNERSHIP Capital Statement \begin{tabular}{|l|l|} \hline \multicolumn{2}{|c|}{ For the Year Ended December 31, Year 1} \\ \hline Beginning capital balance & \\ \hline & \\ \hline & \\ \hline Ending capital balance & $ \\ \hline \end{tabular} B\&B PARTNERSHIP Balance Sheet As of December 31, Year 1 Assets Total assets Liabilities Equity Total equity Total liabilities and equity B\&B PARTNERSHIP Statement of Cash Flows For the Year Ended December 31, Year 1 \begin{tabular}{|l|l|l|} \hline Cash flows from operating ctivities: & & \\ \hline & & \\ \hline Net cash flow from operating activities & \\ \hline Cash flows from investing activities & & \\ \hline & & \\ \hline & & \\ \hline Net cash flow from investing activities & & \\ \hline Cash flows from financing activities & \\ \hline & & \\ \hline & & \\ \hline Net cash flow from financing activities & & 0 \\ \hline Net change in cash & & \\ \hline & & \\ \hline Ending cash balance & & \\ \hline \end{tabular}

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Skills For Accounting And Auditing Research

Authors: Shelby Collins

2nd Edition

1618530747, 9781618530745

More Books

Students also viewed these Accounting questions