Partners in the ABCD Partnership decided to dissolve their partnership. On that date, the partners had the following pre-liquidation capital balances:

Partner A	$28,000
Partner B	41,000
Partner C	18,000
Partner D	12,000

Liabilities at the date of dissolution total $100,000, and noncash assets equal $105,000. During the first month of liquidation, assets having a book value of $55,000 were sold for $31,000. During the second month, assets having a book value of $32,000, were sold for $28,000. During the third month, the remaining unsold assets were determined to be worthless. The partners receive the maximum allowable payment at the end of each month.

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ACT470-Flortfolio-Option 2 Debit (Credit) Balance prior to liquidation Sale of noncash assets in month #1 Installment distrib to Partners #1 Sale of noncash assets in month #2 Installment distrib to Partners #2 Write off noncash assets in month #3 Pay creditors Post-liquidation balances 40% Noncash Cash Assets Liabilities A 30% 20% Partners' Capital Accounts B C 10% D 0 0 0 0 0 0 0 ACT470-Flortfolio-Option 2 Debit (Credit) Balance prior to liquidation Sale of noncash assets in month #1 Installment distrib to Partners #1 Sale of noncash assets in month #2 Installment distrib to Partners #2 Write off noncash assets in month #3 Pay creditors Post-liquidation balances 40% Noncash Cash Assets Liabilities A 30% 20% Partners' Capital Accounts B C 10% D 0 0 0 0 0 0 0