ABC Corporation reports the following condensed balance sheet:

Money	$325,000		Passive	$400,000
Non-monetary assets	637,500		Partner A, capital	225,000
			Socio B, capital	225,000
			Socio C, capital	112,500
total assets	$ 962,500		Total liabilities and partner's capital	$ 962,500

The partners wish to liquidate the partnership. Non-cash assets are sold for $500,000 and the loss is distributed to partners at a ratio of 30%/30%/40% for partners A, B, and C, respectively. Liabilities are paid in full. 

Prepare a schedule detailing the liquidation of assets, payment of liabilities, and distribution of remaining cash to partners.

Answer rating: 100% (QA)

To prepare a schedule detailing the liquidation of assets payment of liabilities and distribution of ... View the full answer