Accounting for Liquidation of
• Sell all the assets of the partnership. The gain or loss arising from such sale is distributed among the partners in their profit sharing ratio.
• Pay off all outside liabilities.
• Distribute the remaining cash among the partners in the ratio of their respective capital balances.
To Determine:
1. Non-cash asset sold for $57,000.
2. Non-cash asset sold for $18,000.
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Horngren's Accounting, Student Value Edition (12th Edition)
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