The Keller, Long, and Mason partnership had the following balance sheet just before entering liquidation: $115,000 230,000 $ 45,000 100,000 70,000 130,000 $345,000 Cash Noncash assets Liabilities Keller, Capital Long, Capital Mason, Capital Total Total $345,000 Keller, Long, and Mason share profits and losses in a ratio of 2:4:4. Assume that noncash assets were sold for $60,000 and liquidation expenses in the amount of $18,500 were incurred. If Long was personally insolvent and could not contribute any assets to the partnership, and Keller and Mason were both solvent, what amount of cash would Keller receive from the distribution of partnership assets? Multiple Choice S0. $60,500. $62,300. $58,700. S64,100.
The Keller, Long, and Mason partnership had the following balance sheet just before entering liquidation: $115,000 230,000 $ 45,000 100,000 70,000 130,000 $345,000 Cash Noncash assets Liabilities Keller, Capital Long, Capital Mason, Capital Total Total $345,000 Keller, Long, and Mason share profits and losses in a ratio of 2:4:4. Assume that noncash assets were sold for $60,000 and liquidation expenses in the amount of $18,500 were incurred. If Long was personally insolvent and could not contribute any assets to the partnership, and Keller and Mason were both solvent, what amount of cash would Keller receive from the distribution of partnership assets? Multiple Choice S0. $60,500. $62,300. $58,700. S64,100.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:The Keller, Long, and Mason partnership had the following balance sheet just before entering liquidation:
$ 45,000
100,000
70,000
130,000
Cash
$115,000
230,000
Liabilities
Keller, Capital
Long, Capital
Mason, Capital
Noncash assets
Total
$345,000
Total
$345,000
Keller, Long, and Mason share profits and losses in a ratio of 2:4:4.
Assume that noncash assets were sold for $60,000 and liquidation expenses in the amount of $18,500 were incurred. If Long was personally insolvent and could not contribute any assets to the partnership, and Keller
and Mason were both solvent, what amount of cash would Keller recelve from the distribution of partnership assets?
Multiple Chaice
so
$60,500.
$62,300.
$58,700
$64,100.
O O o O
00
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