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Faith Busby and Jeremy Beatty started the B&B partnership on January 1, Year 1. The...

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Accounting

Faith Busby and Jeremy Beatty started the B&B partnership on January 1, Year 1. The business acquired $101,500 cash from Busby and $188,500 from Beatty. During Year 1, the partnership earned $63,400 in cash revenues and paid $27,100 for cash expenses. Busby withdrew $2,300 cash from the business, and Beatty withdrew $4,500 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&Bs Year 1 fiscal year.

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