PROBLEM 5 -20 points

The following balance sheet was prepared for ABC Partnership, whose partners share net income and losses in the ratio of 3:1:1 respectively:

Cash $ 40,000 Liabilities $ 70,000

Other assets 140,000 Abe, Capital 50,000

Ben, Capital 50,000

Cher, Capital 10,000

Totals $180,000 $180,000

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The partners liquidate the partnership. Other assets are realized for $80,000.

Prepare a working paper to compute the amount of cash that may be paid to creditors and to partners at this time assuming that all partners are SOLVENT

Please include computations.