E 17-6 Safe payments schedule A condensed balance sheet with profit-sharing percentages for the Eve, Fae, and Gia partnership on January 1, 2016, shows the following: Cash $100,000 Liabilities $80,000 Other assets 500,000 Eve capital (40%) 100,000     Fae capital (40%) 250,000       Gia capital (20%) 170,000   $600,000   $600,000 On January 2, 2016, the partners decide to liquidate the business, and during January they sell assets with a book value of $300,000 for $170,000. Required Prepare a safe payments schedule to show the amount of cash to be distributed to each partner if all available cash, except for a $10,000 contingency fund, is distributed immediately after the sale.

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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E 17-6 Safe payments schedule

A condensed balance sheet with profit-sharing percentages for the Eve, Fae, and Gia partnership on January 1, 2016, shows the following:

Cash

$100,000

Liabilities

$80,000

Other assets

500,000

Eve capital (40%)

100,000

 

 

Fae capital (40%)

250,000

 

   

Gia capital (20%)

170,000

 

$600,000

 

$600,000

On January 2, 2016, the partners decide to liquidate the business, and during January they sell assets with a book value of $300,000 for $170,000.

Required

Prepare a safe payments schedule to show the amount of cash to be distributed to each partner if all available cash, except for a $10,000 contingency fund, is distributed immediately after the sale.

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