Question

Statement of Partnership Liquidation

After closing the accounts on July 1, prior to liquidating the partnership, the capital account balances of Gold, Porter, and Sims are $24,000, $34,200, and $15,300, respectively. Cash, noncash assets, and liabilities total $36,600, $63,300, and $26,400, respectively. Between July 1 and July 29, the noncash assets are sold for $50,700, the liabilities are paid, and the remaining cash is distributed to the partners. The partners share net income and loss in the ratio of 3:2:1.

Prepare a statement of partnership liquidation for the period July 1-29. Enter any subtractions (balance deficiencies, payments, cash distributions, divisions of loss, sale of assets) as negative numbers using a minus sign. If an amount is zero, enter in "0".

Gold, Porter, and Sims
Statement of Partnership Liquidation
For the Period Ending July 1-29
	Cash +	Noncash Assets =	Liabilities +	Capital Gold (3/6) +	Capital Porter (2/6) +	Capital Sims (1/6)
Balances before realization	$	$	$	$	$	$
Sale of assets and division of loss	+
Balances after realization	$	$	$	$	$	$
Payment of liabilities
Balances after payment of liabilities	$	$	$	$	$	$
Cash distributed to partners
Final balances	$	$	$	$	$	$

Answer 1

Gold, Porter, and Sims
Statement of Partnership Liquidation
For the Period Ending July 1-29
	Cash +	Noncash Assets =	Liabilities +	Capital Gold (3/6) +	Capital Porter (2/6) +	Capital Sims (1/6)
Balances before realization	36600	63300	26400	24000	34200	15300
Sale of assets and division of loss	50700	-63300	0	-6300	-4200	-2100
Balances after realization	87300	0	26400	17700	30000	13200
Payment of liabilities	-26400	0	-26400	0	0	0
Balances after payment of liabilities	60900	0	0	17700	30000	13200
Cash distributed to partners	-60900	0	0	-17700	-30000	-13200
Final balances	0	0	0	0	0	0