There are two methods for ensuring fairness and equality in making cash distribution in installment liquidation. (a) the schedule of safe payments to partners and (b) the cash distribution plan. A new schedule of safe payment must be prepared each time when cash becomes available for distribution to the partners whereas the cash distribution plan is prepared only once at the beginning of the liquidation process. The purpose of the schedule of safe payments to partners.

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Chapter 16, Problem 16.10Q

To determine

Introduction: There are two methods for ensuring fairness and equality in making cash distribution in installment liquidation. (a) the schedule of safe payments to partners and (b) the cash distribution plan.

A new schedule of safe payment must be prepared each time when cash becomes available for distribution to the partners whereas the cash distribution plan is prepared only once at the beginning of the liquidation process.

The purpose of the schedule of safe payments to partners.

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