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The RiMiA decided to end their partnership business on September 30, 2018. On this date, their capital balances (before income allocation) and income and loss ratio were: Rino (40%) USD50,000; Mia (30%) USD60,000; and Ana (30%) USD20,000. From January 1 to September 30, 2018, the net income was USD44,000. Furthermore, cash and liabilities are USD40,000 and USD90,000, respectively, as of this date. Compute the amount that must be realized from the sale of the firm's non-cash assets for Rino to receive USD55,200 in full settlement of his interest in the firm?

The RiMiA decided to end their partnership business on September 30, 2018. On this date, their capital balances (before income allocation) and income and loss ratio were: Rino (40%) USD50,000; Mia (30%) USD60,000; and Ana (30%) USD20,000. From January 1 to September 30, 2018, the net income was USD44,000. Furthermore, cash and liabilities are USD40,000 and USD90,000, respectively, as of this date. Compute the amount that must be realized from the sale of the firm's non-cash assets for Rino to receive USD55,200 in full settlement of his interest in the firm?

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 RiMiA decided to end their partnership business on September 30, 2018. On this date, their capital balances (before income allocation) and income and loss ratio were:
Rino (40%) USD50,000; Mia (30%) USD60,000; and Ana (30%) USD20,000.
From January 1 to September 30, 2018, the net income was USD44,000. Furthermore, cash and liabilities are USD40,000 and USD90,000, respectively, as of this date. Compute the amount that must be realized from the sale of the firm's non-cash assets for Rino to receive USD55,200 in full settlement of his interest in the firm?

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