On January 1, the partners of Van, Bakel, and Cox (who share profits and losses in the ratio of 5:3:2, respectively) decide to liquidate their partnership. The trial balance at this date follows:

The partners plan a program of piecemeal conversion of the business’s assets to minimize liquidation losses. All available cash, less an amount retained to provide for future expenses, is to be distributed to the partners at the end of each month. A summary of the liquidation transactions follows:

Prepare a schedule to compute the safe installment payments made to the partners at the end of each of these three months.

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Cash Accounts receivable Inventory ... Machinery and equipment, net Accounts payable Van, loan Bakel, loan. Van, capital Bakel, capital Cox, capital Totals Debit Credit $ 18,000 66,000 52,000 189,000 30,000 $ 53,000 20,000 118,000 90,000 74,000 $355,000 $355,000