Harry, Tony, and Liza run a partnership firm and share in the profits 1:3:2, respectively. In the process of liquidation, the partnership sells non-cash assets, having a book value of $83,000, for $81,000. What would be the journal entry for distribution to partners for the loss on the sale of the non-cash assets? O Cash Loss on Disposal Non-cash Assets O Harry, Capital Tony, Capital Liza, Capital Loss on Disposal O Cash Gain on Disposal Non-cash Assets Loss on Disposal O Loss on Disposal Harry, Capital Tony, Capital 81,000 2,000 333 1,000 667 81,000 3,000 2,000 83,000 2,000 83,000 1,000 333 1,000
Harry, Tony, and Liza run a partnership firm and share in the profits 1:3:2, respectively. In the process of liquidation, the partnership sells non-cash assets, having a book value of $83,000, for $81,000. What would be the journal entry for distribution to partners for the loss on the sale of the non-cash assets? O Cash Loss on Disposal Non-cash Assets O Harry, Capital Tony, Capital Liza, Capital Loss on Disposal O Cash Gain on Disposal Non-cash Assets Loss on Disposal O Loss on Disposal Harry, Capital Tony, Capital 81,000 2,000 333 1,000 667 81,000 3,000 2,000 83,000 2,000 83,000 1,000 333 1,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Harry, Tony, and Liza run a partnership firm and share in the profits 1:3:2, respectively. In the process of liquidation, the partnership sells
non-cash assets, having a book value of $83,000, for $81,000. What would be the journal entry for distribution to partners for the loss on the
sale of the non-cash assets?
Cash
Loss on Disposal
Non-cash Assets
Harry, Capital
Tony, Capital
Liza, Capital
Loss on Disposal
Cash
Gain on Disposal
Non-cash Assets
Loss on Disposal
Loss on Disposal
Harry, Capital
Tony, Capital
Liza, Capital
81,000
2,000
333
1,000
667
81,000
3,000
2,000
83,000
2,000
83,000
1,000
333
1,000
667
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