A local partnership PJS is undergoing the process of liquidation. All outstanding liabilities have been paid prior to liquidation. The following represents the updated balance sheet:

Peters, Jones and Smith share profits and losses 4:4:2, respectively.

If the building is sold for $160,000 and liquidation expenses are expected to be $15,000, how much cash will each partner receive in the final settlement?

Cash Building (net) 5,000 75,000 Liabilities Peters, capital Jones, capital Smith, capital Total 40,000 15,000 25,000 80,000 Total 80,000