Question: Before the final distribution of cash account balances are Cash
Before the final distribution of cash, account balances are: Cash $27,000; S. Shea, Capital $19,000 (Cr.); L. Seastrom, Capital $12,000 (Cr.); and M. Luthi, Capital $4,000 (Dr.). Luthi is unable to pay any of the capital deficiency. If the income-sharing ratios are 5:3:2, respectively, how much cash should be paid to L. Seastrom?
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