The after-closing trial balances of the Beams, Plank, and Timbers partnership at December 31, 2011, included the following accounts and balances:

Cash ................. $120,000

Accounts receivable—net.......... 140,000

Inventory................ 200,000

Plant assets—net............. 200,000

Trademarks............... 20,000

Total debits............... $680,000

Accounts payable.............. $150,000

Notes payable.............. 100,000

Beams capital (profit sharing ratio, 50%).. 170,000

Plank capital (profit sharing ratio, 30%)..... 180,000

Timbers capital (profit sharing ratio, 20%).. 80,000

Total credits............... $680,000

The partnership is to be liquidated as soon as possible, and all available cash except for a

$10,000 contingency balance is to be distributed at the end of each month prior to the time that all assets are converted into cash.

During January 2012, $100,000 was collected from accounts receivable, inventory items with a book value of $80,000 were sold for $100,000, and available cash was distributed.

During February 2012, Beams received plant assets with a book value of $60,000 and a fair value of $50,000 in partial settlement of her equity in the partnership. Also during February, the remaining inventory items were sold for $60,000, liquidation expenses of $2,000 were paid, and a liability of $8,000 was discovered. Cash was distributed on February 28.

During March 2012, the plant assets were sold for $110,000, the remaining non-cash assets were written off, final liquidation expenses of $5,000 were paid, and cash was distributed. The dissolution of the partnership was completed on March 31, 2012.

REQUIRED

Prepare a statement of partnership liquidation for the Beams, Plank, and Timbers partnership for the period January 1 to March 31, 2012.