CHAPTER 11 Partnerships Problem 11-8B Liquidation of a partnership L05 eXcel CHECK FIGURES: a. Cash to Olive: $34,766; b. Cash to Olive: $20,790; c. Cash to Olive: $7,140; d. Cash to Olive: $0 Poppy, Sweetbean, and Olive have always shared profit and losses in a 3:1:1 ratio. They recently decided to liquidate their partnership. Just prior to the liquidation, their balance sheet appeared as follows: Poppy, Sweetbean, and Olive Balance Sheet October 15, 2020 Assets Cash $ 39,690 Equipment (net) Total assets $ 9,450 166,320 $175,770 Liabilities Accounts payable Equity Ernie Poppy, capital Lynn Sweetbean, capital Ned Olive, capital. Total equity Total liabilities and equity. $63,840 42,000 30,240 136,080 $175,770 *Accumulated depreciation = $40,600 Required Part 1 Under the assumption that the equipment is sold and the cash is distributed to the proper parties on October 15, 2020, complete the schedule provided below. Equipment Accounts (net) Payable Ernie Lynn Ned Poppy, Sweetbean, Olive, Capital Capital Capital Cash Account balances October 15, 2020. Show the sale, the gain or loss allocation, and the distribution of the cash in each of the following unrelated cases: a. The equipment is sold for $189,000. b. The equipment is sold for $119,070. c. The equipment is sold for $50,820, and any partners with resulting deficits can and do pay in the amount of their deficits. d. The equipment is sold for $38,640, and the partners have no assets other than those invested in the business. Part 2 Prepare the entry to record the final distribution of cash assuming case (a) above