Trish Craig and Ted Smith have a bio-energy and consulting business and share profit and losses in

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Trish Craig and Ted Smith have a bio-energy and consulting business and share profit and losses in a 3:1 ratio. They decide to liquidate their partnership on December 31, 2023, when the balance sheet shows the following:


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Required


Prepare the entries on December 31, 2023, to record the liquidation under each of the following independent assumptions:


a. Property, plant, and equipment are sold for $720,000.


b. Property, plant, and equipment are sold for $140,000.

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Fundamental Accounting Principles Volume 2

ISBN: 9781260881332

17th Canadian Edition

Authors: Kermit D. Larson, Heidi Dieckmann, John Harris

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