The ledger of Camila Ramirez and Ping Xue, attorneys-at-law, contains the following accounts and balances after adjustments have been recorded on December 31, 20Y2:

Ramirez and Xue
Trial Balance
December 31, 20Y2
	Debit Balances		Credit Balances
Cash	52,500
Accounts Receivable	50,000
Supplies	1,900
Land	125,000
Building	135,600
Accumulated DepreciationBuilding			78,100
Office Equipment	57,500
Accumulated DepreciationOffice Equipment			24,300
Accounts Payable			37,300
Salaries Payable			4,000
Camila Ramirez, Capital			130,000
Camila Ramirez, Drawing	56,300
Ping Xue, Capital			75,000
Ping Xue, Drawing	81,300
Professional Fees			448,300
Salary Expense	182,500
Depreciation ExpenseBuilding	18,100
Property Tax Expense	11,300
Heating and Lighting Expense	9,000
Supplies Expense	6,500
Depreciation ExpenseOffice Equipment	5,600
Miscellaneous Expense	3,900
	797,000		797,000

The balance in Xue' capital account includes an additional investment of $13,000 made on May 5, 20Y2.

Required:

1. Prepare an income statement for 20Y2, indicating the division of net income. The partnership agreement provides for salary allowances of $49,000 to Ramirez and $59,000 to Xue, allowances of 10% on each partner's capital balance at the beginning of the fiscal year, and equal division of the remaining net income or net loss.

2. Prepare a statement of partnership equity for 20Y2. If any amounts are zero, enter in "0".

3. Prepare a balance sheet as of the end of 20Y2.

Ramirez and Xue Income Statement For the Year Ended December 31, 2012 Operating expenses: $ IIII Total operating expenses ta Ramirez and Xue Division of Income For the Year Ended December 31, 20Y2 Camila Ramirez Ping Xue Total Division of net income: Salary allowance $ $ $ Interest allowance Remaining income Net income Ramirez and Xue Statement of Partnership Equity For the Year Ended December 31, 2012 Camila Ramirez Ping Xue Total Balances, January 1, 2012 $ Capital additions Net income for the year Partner withdrawals Balances, December 31, 20Y2 Ramirez and Xue Balance Sheet December 31, 20Y2 Assets Current assets: $ Total current assets $ Property, plant, and equipment: $ $ $ Total property, plant, and equip. Total assets Liabilities Current liabilities: $ $ Total liabilities Partners' Equity $ Total partners' equity Total liabilities and partners' equity