3) The partnership of Georgia, Holly, and Izzy was dissolved, and by July 1, 2014, all assets...
Question:
3) The partnership of Georgia, Holly, and Izzy was dissolved, and by July 1, 2014, all assets had been converted into cash and all partnership liabilities were paid. The partnership balance sheet on July 1, 2014 (with partner residual profit and loss sharing percentages) was as follows:
Cash $10,000 Georgia, capital (40%) $(20,000)
Holly, capital (30%) (10,000)
Izzy, capital (30%) 40,000
Total assets $10,000 Total liab./equity $ 10,000
The value of the partners' personal assets and liabilities on July 1, 2014 were as follows:
Georgia Holly Izzy
Personal assets $45,000 $30,000 $25,000
Personal liabilities 30,000 20,000 10,000
Required:
Prepare the final statement of partnership liquidation.
Advanced Accounting
ISBN: 978-0134472140
13th edition
Authors: Floyd A. Beams, Joseph H. Anthony, Bruce Bettinghaus, Kenneth Smith