3. The Glad Partnership is to be liquidated when the ledger shows the following:

Cash $15,000

Accounts Receivable 10,000

Equipment 88,000

Accumulated Depreciation - Equip. 36,000

Accounts Payable 20,000

Reed, Capital 22,000

Ales, Capital 30,000

Dent, Capital 5,000

Reed, Ales, and Dent's income ratios are 6:3:1, respectively.

Prepare journal entries for the first 3 steps of the liquidation process, assuming that they collected $8000 of the Accounts Receivable, and received $24,000 cash for the equipment.