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A partnership has the following capital balances: X (50 percent of profits and losses) = $150,000; Y (30 percent of profits and losses) = $120,000;
A partnership has the following capital balances: X (50 percent of profits and losses) = $150,000; Y (30 percent of profits and losses) = $120,000; Z (20 percent of profits and losses) = $80,000. If the partnership is to be liquidated and $30,000 becomes immediately available, who gets that money?
Multiple Choice
- $0 to X, $18,000 to Y, $12,000 to Z.
- $12,800 to X, $8,600 to Y, $8,600 to Z.
- $24,000 to X, $6,000 to Y, $0 to Z.
- $15,000 to X, $9,000 to Y, $6,000 to Z.
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