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ABC Corporation currently has $20,000 in cash, $30,000 in noncash assets, and liabilities of $35,000. The partners, Adrian, Batch, and Crenshaw, had capital balances of
ABC Corporation currently has $20,000 in cash, $30,000 in noncash assets, and liabilities of $35,000. The partners, Adrian, Batch, and Crenshaw, had capital balances of $5,000, $8,000, and $2,000, respectively. The partners share a profit and loss ratio of 1:1:3. The noncash assets were sold for $60,000. Complete the liquidation chart below. Balances before 20,000 realization Sale of assets and devision Balance abe redization Payment of laluditis Bal after pry of labilities Cash datributed to partners Fil Cash 30,000 Noncash Aut 35,000 Statement of Partnership Liquidation Liabilities Capital Adrian Batch 5,000 8,000 2,000 Craw
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