The partnership of Seymour, Packard, & Malone has experienced operating losses for three consecutive years. The partners—who have shared profits and losses in the ratio of Seymour, 15%; Packard, 60%; and Malone, 25%—are liquidating the business. They ask you to analyze the effects of liquidation. They present the following condensed partnership balance sheet at December 31, 2024:

Requirements
1. Assume the non-cash assets are sold for $150,000. Journalize the liquidation transactions.
2. Assume the non-cash assets are sold for $100,000. Journalize the liquidation transactions.

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Cash Non-cash Assets Total Assets Assets SEYMOUR, PACKARD, & MALONE Balance Sheet December 31, 2024 $ 28,000 Accounts Payable 120,000 $ 148,000 Liabilities Partners' Equity Seymour, Capital Packard, Capital Malone, Capital Total Partners' Equity Total Liabilities and Partners' Equity $ 59,000 25,000 41,000 23,000 89,000 $ 148,000