The partnership of Bauer, Ohtani, and Souza has elected to cease all operations and liquidate its business property. A balance sheet drawn up at this time shows the following account balances:

Table Summary: Table has $4$ columns; column $1$ and $3$ lists account names, and columns $2$ and $4$ list dollar values.

Cash $$60,000$ Liabilities $$40,000$

Noncash assets $219,000$ Bauer, capital $(60\%)129,000$

Ohtani, capital $(20\%)35,000$

Souza, capital $(20\%)75,000$

Total assets $$279,000$ Total liabilities and capital $$279,000$

Part A

Prepare a predistribution plan for this partnership.

Part B

The following transactions occur in liquidating this business:

Distributed safe payments of cash immediately to the partners. Liquidation expenses of $$8,000$ are estimated as a basis for this computation.

Sold noncash assets with a book value of $$94,000$ for $$60,000.$

Paid all liabilities.

Distributed safe payments of cash again.

Sold remaining noncash assets for $$51,000.$

Paid actual liquidation expenses of $$6,000$ only.

Distributed remaining cash to the partners and closed the financial records of the business permanently.

Prepare a final statement of liquidation for this partnership using the predistribution plan to determine payments of cash to partners.

Part C

Prepare journal entries to record the liquidation transactions reflected in the final statement of liquidation.