A partnership has the following balance sheet prior to liquidation (partners' profit and loss ratios are in

Question:

A has the following prior to (partners' profit and loss ratios are in parentheses):

A partnership has the following balance sheet prior to liquidation

During liquidation, other assets are sold for $80,000, liabilities are paid in full, and $15,000 in liquidation expenses are paid. What amount of cash does each partner receive as a result of this liquidation?
a. Playa, $6,000; Bahia, $4,500; Arco, $4,500.
b. Playa, $10,000; Bahia, $18,500; Arco, $19,500.
c. Playa, $16,000; Bahia, $23,000; Arco, $24,000.
d. Playa, $19,200; Bahia, $14,400; Arco, $14,400.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial... Liquidation
Liquidation in finance and economics is the process of bringing a business to an end and distributing its assets to claimants. It is an event that usually occurs when a company is insolvent, meaning it cannot pay its obligations when they are due.... Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...