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The ledger of Camila Ramirez and Ping Xue, attorneys - at - law, contains the following accounts and balances after adjustments have been recorded on
The ledger of Camila Ramirez and Ping Xue, attorneysatlaw, contains the following accounts and balances after adjustments have been recorded on December Y:
Ramirez and Xue
Trial Balance
December Y
Line Item Description Debit
Balances Credit
Balances
Cash
Accounts Receivable
Supplies
Land
Building
Accumulated DepreciationBuilding
Office Equipment
Accumulated DepreciationOffice Equipment
Accounts Payable
Salaries Payable
Camila Ramirez, Capital
Camila Ramirez, Drawing
Ping Xue, Capital
Ping Xue, Drawing
Professional Fees
Salary Expense
Depreciation ExpenseBuilding
Heating and Lighting Expense
Depreciation ExpenseOffice Equipment
Property Tax Expense
Supplies Expense
Miscellaneous Expense
Totals
The balance in Xue's capital account includes an additional investment of $ made on May Y
Required:
Prepare an income statement for Y indicating the division of net income. The partnership agreement provides for salary allowances of $ to Ramirez and $ to Xue, allowances of on each partner's capital balance at the beginning of the fiscal year, and equal division of the remaining net income or net loss.
Ramirez and Xue
Income Statement
For the Year Ended December Y
Line Item Description Amount Amount
$fill in the blank
Operating expenses:
$fill in the blank
fill in the blank
fill in the blank
fill in the blank
fill in the blank
fill in the blank
fill in the blank
Total operating expenses fill in the blank
$fill in the blank
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