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Statement of Partnership Liquidation On August 3, the firm of Chapelle, Rock, and Pryor decided to liquidate its partnership. The partners have capital balances of $58,000, $82,000, and $13,000, respectively. The cash balance is $19,000, the book values of noncash assets total $177,000, and liabilities total $43,000. The partners share income and losses in the ratio of 2:2:1. Required: 1. Prepare a statement of partnership liquidation, covering the period August 3-29, for each of the following independent assumptions: a. All of the noncash assets are sold for $237,000 in cash, the creditors are paid, and the remaining cash is distributed to the partners. Enter any subtractions (balance deficiencies, payments, cas distributions, divisions of loss, sale of assets) as negative numbers using a minus sign. If there is no amount or an amount is zero, enter "0". Chapelle, Rock, and Pryor Statement of Partnership Liquidation

Statement of Partnership Liquidation On August 3, the firm of Chapelle, Rock, and Pryor decided to liquidate its partnership. The partners have capital balances of $58,000, $82,000, and $13,000, respectively. The cash balance is $19,000, the book values of noncash assets total $177,000, and liabilities total $43,000. The partners share income and losses in the ratio of 2:2:1. Required: 1. Prepare a statement of partnership liquidation, covering the period August 3-29, for each of the following independent assumptions: a. All of the noncash assets are sold for $237,000 in cash, the creditors are paid, and the remaining cash is distributed to the partners. Enter any subtractions (balance deficiencies, payments, cas distributions, divisions of loss, sale of assets) as negative numbers using a minus sign. If there is no amount or an amount is zero, enter "0". Chapelle, Rock, and Pryor Statement of Partnership Liquidation

FINANCIAL ACCOUNTING
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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Statement of Partnership Liquidation On August 3, the firm of Chapelle, Rock, and Pryor decided to liquidate its partnership. The partners have capital balances of $58,000, $82,000, and $13,000, respectively. The cash balance is $19,000, the book values of noncash assets total $177,000, and liabilities total $43,000. The partners share income and losses in the ratio of 2:2:1. Required: 1. Prepare a statement of partnership liquidation, covering the period August 3-29, for each of the following independent assumptions: a. All of the noncash assets are sold for $237,000 in cash, the creditors are paid, and the remaining cash is distributed to the partners. Enter any subtractions (balance deficiencies, payments, cash distributions, divisions of loss, sale of assets) as negative numbers using a minus sign. If there is no amount or an amount is zero, enter "0". Balances before realization Sale of assets and division of gain Balances after realization Payment of liabilities Balances after payment of liabilities Cash distributed to partners Cash Chapelle, Rock, and Pryor Statement of Partnership Liquidation For Period August 3-29 + Noncash Assets UWA MW Liabilities + Capital Chapelle (2/5) + Capital Rock (2/5) + Capital Pryor (1/5)
Transcribed Image Text:Statement of Partnership Liquidation On August 3, the firm of Chapelle, Rock, and Pryor decided to liquidate its partnership. The partners have capital balances of $58,000, $82,000, and $13,000, respectively. The cash balance is $19,000, the book values of noncash assets total $177,000, and liabilities total $43,000. The partners share income and losses in the ratio of 2:2:1. Required: 1. Prepare a statement of partnership liquidation, covering the period August 3-29, for each of the following independent assumptions: a. All of the noncash assets are sold for $237,000 in cash, the creditors are paid, and the remaining cash is distributed to the partners. Enter any subtractions (balance deficiencies, payments, cash distributions, divisions of loss, sale of assets) as negative numbers using a minus sign. If there is no amount or an amount is zero, enter "0". Balances before realization Sale of assets and division of gain Balances after realization Payment of liabilities Balances after payment of liabilities Cash distributed to partners Cash Chapelle, Rock, and Pryor Statement of Partnership Liquidation For Period August 3-29 + Noncash Assets UWA MW Liabilities + Capital Chapelle (2/5) + Capital Rock (2/5) + Capital Pryor (1/5)
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