The Mason-Dixon Partnership Was Formed on January 1,2016,when Rebecca Mason

Essay

The Mason-Dixon partnership was formed on January 1,2016,when Rebecca Mason and Steve Dixon contributed cash of $40,000 and $60,000,respectively.During 2016,the partnership earned $160,000 in cash revenues and paid $108,000 in cash expenses.Mason withdrew $12,000 cash and Dixon withdrew $8,000 cash from the business.Net income was allocated to the partners' capital accounts in proportion to their initial investment in the business.
Required: Prepare an income statement,capital statement,balance sheet,and statement of cash flows for the partnership for 2016.