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The ledger of Tyler Lambert and Jayla Yost, attorneys-at-law, contains the following accounts and balances after adjustments have been recorded on December 31, 20Y3: Lambert

The ledger of Tyler Lambert and Jayla Yost, attorneys-at-law, contains the following accounts and balances after adjustments have been recorded on December 31, 20Y3:

Lambert and Yost

ADJUSTED TRIAL BALANCE

December 31, 20Y3

ACCOUNT TITLE DEBIT CREDIT

1

Cash

34,000.00

2

Accounts Receivable

47,800.00

3

Supplies

2,000.00

4

Land

120,000.00

5

Building

157,500.00

6

Accumulated Depreciation-Building

67,200.00

7

Office Equipment

63,600.00

8

Accumulated Depreciation-Office Equipment

21,700.00

9

Accounts Payable

27,900.00

10

Salaries Payable

5,100.00

11

Tyler Lambert, Capital

135,000.00

12

Tyler Lambert, Drawing

50,000.00

13

Jayla Yost, Capital

88,000.00

14

Jayla Yost, Drawing

60,000.00

15

Professional Fees

395,300.00

16

Salary Expense

154,500.00

17

Depreciation Expense-Building

15,700.00

18

Property Tax Expense

12,000.00

19

Heating and Lighting Expense

8,500.00

20

Supplies Expense

6,000.00

21

Depreciation Expense-Office Equipment

5,000.00

22

Miscellaneous Expense

3,600.00

23

Totals

740,200.00

740,200.00

The balance in Yosts capital account includes an additional investment of $10,000 made on April 10, 20Y3.

Required:
1. Prepare an income statement for 20Y3. Create a separate statement indicating the division of net income to the partners. The partnership agreement provides for salary allowances of $45,000 to Lambert and $54,700 to Yost, allowances of 10% on each partners 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 20Y3.*
3. Prepare a balance sheet as of the end of 20Y3.*
* Refer to the Accounts, Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. If a net loss is incurred or there is a decrease in partners equity, enter that amount as a negative number using a minus sign.

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