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Faith Busby and Jeremy Beatty started the B&B partnership on January 1. Year 1 The business acquired $80.500 cash from Busby and $149,500 from Beatty.

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Faith Busby and Jeremy Beatty started the B&B partnership on January 1. Year 1 The business acquired $80.500 cash from Busby and $149,500 from Beatty. During Year 1, the partnership earned 566,700 in cash revenues and paid $42.950 for cash expenses. Busby withdrew $2.700 cash from the business, and Beatty withdrew $4,200 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 Statement Capital Statement Balance Sheet Stmt of Cash Flou Stmt of Cash Flows Prepare the income statement B&B PARTNERSHIP Income Statement For the Year Ended December 31, Year 1 Revenue 5 66.700 Expenses 42.950 Not income $ 23.750 Capital Statement > Income Statement Capital Statenent Balance Sheet Stmt of Cash Flows Prepare a capital statement B&B PARTNERSHIP Capital Statement For the Year Ended December 31, Year 1 Beginning capital balance Plus Capital acquired from owner Plus: Net income Ending capital balance Income Statement Capital Statement Balance Sheet Stmt of Cash Flows Prepare a balance sheet. (Do not round intermediate calculations and round your final answer to the nearest whole doll amount.) B&B PARTNERSHIP Balance Sheet As of December 31, Year 1 Assets Cash $ 0 Total assets Labilities Equity F. Busby, Capital J. Beatty, Capital Total equity Total liabilities and equity 0 0 $ Income Statement Capital Statement Balance Sheet Stmt of Cash Flows Prepare a statement of cash flows. (Cash outflows should be indicated w B&B PARTNERSHIP Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities: Net cash flow from operating activities Cash flows from investing activities: $ 0 Net cash flow from investing activities Cash flows from financing activities: $ 0 Net cash flow from financing activities Net change in cash 0 0 Ending cash balance $ 0

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