The partnership of Maya, Nova, and Oscar was dissolved. By August 1, 2014, all assets had been converted into cash and all partnership liabilities were paid. The partnership balance sheet on August 1, 2014 (with partner residual profit and loss sharing percentages) was as follows: $100,000 Maya, capital (30%) $ 8,000 Nova, capital (20%) (120,000) Oscar, capital (50%) Total equity Cash 212,000 $100,000 Total assets $100,000 The value of partners' personal assets and liabilities on August 1, 2014 were as follows: Maya $148,000 Nova Oscar $112,000 Personal assets $240,000 Personal liabilities 144,000 160,000 120,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

Please prepare the final statement of partnership liquidation.

The partnership of Maya, Nova, and Oscar was dissolved. By August 1, 2014, all assets had
been converted into cash and all partnership liabilities were paid. The partnership balance
sheet on August 1, 2014 (with partner residual profit and loss sharing percentages) was as
follows:
$100,000
Maya, capital (30%) $ 8,000
Nova, capital (20%)
Oscar, capital (50%)
Total equity
Cash
(120,000)
212,000
Total assets
$100,000
$100,000
The value of partners' personal assets and liabilities on August 1, 2014 were as follows:
Маya
$148,000
144,000
Nova
$240,000
160,000
Oscar
$112,000
Personal assets
Personal liabilities
120,000
Transcribed Image Text:The partnership of Maya, Nova, and Oscar was dissolved. By August 1, 2014, all assets had been converted into cash and all partnership liabilities were paid. The partnership balance sheet on August 1, 2014 (with partner residual profit and loss sharing percentages) was as follows: $100,000 Maya, capital (30%) $ 8,000 Nova, capital (20%) Oscar, capital (50%) Total equity Cash (120,000) 212,000 Total assets $100,000 $100,000 The value of partners' personal assets and liabilities on August 1, 2014 were as follows: Маya $148,000 144,000 Nova $240,000 160,000 Oscar $112,000 Personal assets Personal liabilities 120,000
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Accounting for Liquidation of Companies
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education