The Johnson & Miller partnership has the following balances on December 31, 2014:

Johnson and Miller share profits 1:3. Johnson and Miller decide to liquidate the partnership. Journalize the sale of the non-cash assets for $80,000, the payment of the liabilities, and the payment to the partners. Assume Miller contributes cash equal to the capital deficiency.

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JOHNSON & MILLER Balance Sheet December 31, 2014 Assets Liabilities 80,000 20,000 Accounts Payable 120,000 Cash Non-cash Assets Partners' Equity Johnson, Capital Miller, Capital 40,000 20,000 140,000 Total Assets 140,000 Total Liabilities and Partners' Equity