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Problem I. Prepare only a Cash Flow from Operations (10 pts.) There could be extra data below that you do not need for your answer:

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Problem I. Prepare only a Cash Flow from Operations (10 pts.) There could be extra data below that you do not need for your answer: Gain from Sale of Equipment 1,000 Depreciation Expense 2,000 Decrease in Trucks 10,000 Loss from Sale of Truck 3,000 Increase in Supplies 4,000 Decrease in Merchandise Inventory 5,000 Decrease in Accounts Payable 7,000 Increase in Sales 12,000 Net Loss 9,000 Increase in Common Stock 11,000 Problem II. Prepare the necessary schedule to split the profit/loss to partners A, B, C & D: (15 pts.) ABCD partnership Capital amts. are $200,000 /100,000/$300,000/$400,000 respectively. ABCD partnership agreement states that profits/losses are to be split based on the following: Salaries of $5,000 / $10,000 / $50,000 / $35,000 respectively, Interest on capital of 0% / 1%/5% / 6% respectively, Remainder to be split based on a ratio of their respective capital balances. Assume a PROFIT of $10,000. Problem III. Prepare the necessary journal entry (15 pts.) WXYZ partnership with capital balances of $20,000 / $80,000/ $50,000 / $50,000 will allow a new partner Henry to join the partnership by contributing equipment worth $60,000, cash of $40,000 for a 10% interest in the partnership. Any bonus is to be split based on the above partner's capital balances

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