The balance sheet of Morgan and Rockwell was as follows immediately prior to the partnership's liquidation: cash, $23,600; other assets, $147,000; liabilities, $35,000; Morgan, capital, $61,500; Rockwell, capital, $74,100. The other assets were sold for $123,300. Morgan and Rockwell share profits and losses in a 2:1 ratio. As a final cash distribution from the liquidation, Morgan will receive cash totaling Oa. $61,500 Ob. $45,700 Oc. $23,600 Od. $15,733

The balance sheet of Morgan and Rockwell was as follows immediately prior to the partnership's liquidation: cash, $23,600; other assets, $147,000; liabilities, $35,000; Morgan, capital, $61,500; Rockwell, capital, $74,100. The other assets were sold for $123,300. Morgan and Rockwell share profits and losses in a 2:1 ratio. As a final cash distribution from the liquidation, Morgan will receive cash totaling Oa. $61,500 Ob. $45,700 Oc. $23,600 Od. $15,733

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter14: Partnerships And Limited Liability Entities

Section: Chapter Questions

Problem 2BD

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