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The ABC partnership has the following capital accounts on its books at December 31, 2017:   Credit A, Capital $200,000 B, Capital 120,000 C, Capital 40,000   All liabilities have been liquidated and the cash balance is zero. None of the partners have personal assets in excess of his personal liabilities. The partners share profits and losses in the ratio of 3:2:5. If the noncash assets are sold for $200,000, the partners should receive as a final payment:     A) A, $152,000; B, $88,000 C, $40,000   B) A, $128,000; B, $72,000; C, $ - 0 -   C) A, $152,000; B, $88,000; C, $ - 0 -   D) A, $60,000;     B, $40,000; C, $100,000

The ABC partnership has the following capital accounts on its books at December 31, 2017:   Credit A, Capital $200,000 B, Capital 120,000 C, Capital 40,000   All liabilities have been liquidated and the cash balance is zero. None of the partners have personal assets in excess of his personal liabilities. The partners share profits and losses in the ratio of 3:2:5. If the noncash assets are sold for $200,000, the partners should receive as a final payment:     A) A, $152,000; B, $88,000 C, $40,000   B) A, $128,000; B, $72,000; C, $ - 0 -   C) A, $152,000; B, $88,000; C, $ - 0 -   D) A, $60,000;     B, $40,000; C, $100,000

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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The ABC partnership has the following capital accounts on its books at December 31, 2017:

 

Credit

A, Capital

$200,000

B, Capital

120,000

C, Capital

40,000

 

All liabilities have been liquidated and the cash balance is zero. None of the partners have personal assets in excess of his personal liabilities. The partners share profits and losses in the ratio of 3:2:5. If the noncash assets are sold for $200,000, the partners should receive as a final payment:

 

 

A)

A, $152,000; B, $88,000 C, $40,000

 

B)

A, $128,000; B, $72,000; C, $ - 0 -

 

C)

A, $152,000; B, $88,000; C, $ - 0 -

 

D)

A, $60,000;     B, $40,000; C, $100,000
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