The Pine Valley Golf Partnership provided the following balance sheet after closing out all temporary accounts. 

Pine Valley Partnership Balance Sheet June 30, 2021 

Assets Liabilities and Owners' Equity 

Cash $28,000 

Accounts payable 24,000

 Accounts receivable 19,000 

Notes payable $14,000 

Allowance for doubtful accounts (1,000) 18,000 

Wages payable 2,000 

Merchandise inventory 28,000 

Equipment 17,000 

Spieth, Capital 25,000 

Accumulated depreciation —Equipment (10,000) 7,000 

Thomas, Capital 11,200 

Vegas, Capital 4,800 

The partners’ income and loss ratio is 5:3:2. A total of $48,000 was received from the sale of noncash assets.

Instructions:

 (a) Prepare a complete cash liquidation schedule. 

(b) Prepare the journal entries to record all transactions.

Answer rating: 100% (QA)

Cash Liquidation Schedule Cash on hand 28000 Add Cash received from the sale of noncash assets 48000 ... View the full answer