Chapter 19, Problem 10SPA

STATEMENT OF PARTNER SHIP LIQUIDATION WITH LOSS After several years of operations, the partnership of Nelson, Pope, and Williams is to be liquidated. After making closing entries on March 31, 20--, the following accounts remain open:

REQUIRED

1. Prepare a statement of partnership liquidation for the period July 1–20, 20--, showing the following:

(a) The sale of noncash assets on July 1

(b) The allocation of any gain or loss to the partners on July 1

(c) The payment of the liabilities on July 15

(d) The distribution of cash to the partners on July 20

2. Journalize these four transactions in a general journal.