(for this question you do not need to show your work) A local partnership was in the process of liquidating and reported the following Capital account balances: Justice, capital (40% of all profits and losses) $26.000 Zobart, capital (35%) Douglass, capital (25%) 20,000 (15,000) Douglass indicated that the $14,000 deficit would be covered by a forthcoming contribution. However, the two remaining partners asked to receive the $31,000 that was then in the cash account. 1. How much of the $31,000 in the cash account should Justice receive? 2. How much of the $31,000 in the cash account should Zobart receive?

(for this question you do not need to show your work) A local partnership was in the process of liquidating and reported the following Capital account balances: Justice, capital (40% of all profits and losses) $26.000 Zobart, capital (35%) Douglass, capital (25%) 20,000 (15,000) Douglass indicated that the $14,000 deficit would be covered by a forthcoming contribution. However, the two remaining partners asked to receive the $31,000 that was then in the cash account. 1. How much of the $31,000 in the cash account should Justice receive? 2. How much of the $31,000 in the cash account should Zobart receive?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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