Fed, Flo, and Wil announced the liquidation of their partnership beginning on January 1, 2011. Profits and losses are divided 30 percent to Fed, 20 percent to Flo, and 50 percent to Wil. Balance sheet items are summarized as follows:

REQUIRED
Prepare a cash distribution plan as of January 1, 2011, for the Fed, Flo, and Wil partnership.

Transcribed Image Text:

Cash Accounts receivable-net Inventories Plant assets-net Flo loan $45,000 25,000 25,000 80,000 10,000 $185,000 Accounts payable Fed capital (30%) Flo capital (20%) Wil capital (50%) $20,000 75,000 30,000 60,000 S185,000