David Wallace, Olena Dunn, and Danny Lin were partners in a commercial architect firm and showed the following account balances as of December 31, 2020: Account balances December 31, 2020 Accum. Cash $48,700 Olena Deprec Accounts Notes Wallace, Dunn, Equipment Equipment Payable Payable Capital Capital $203,000 $106,000 $8,700 $29,000 $48,000 $31,000 David Danny Lin, Capital $29,000 Due to several unprofitable periods, the partners decided to liquidate the partnership. The equipment was sold for $73,000 on January 1, 2021. The partners share any profit (loss) in the ratio of 2:1:1 for Wallace, Dunn, and Lin, respectively. Required: 1. Complete the schedule. (Negative answers should be indicated by a minus sign.) Cash Equipment Accum. Deprec. David Accounts Payable Notes Wallace, Olena Dunn, C Payable Equipment Capital Capital C Account balances December 31, 2020 $ 48,700 $ 203,000 $ 106,000 $ 8,700 $ 29,000 $ 48,000 $ 31,000 $ Sale of equipment Ralance $ 48,700 $ 203,000 $ 106,000 $ 8,700 $ 29,000 $ 48,000 $ 31,000 $ Required: 1. Complete the schedule. (Negative answers should be indicated by a minus sign.) Cash Equipment Accum. Deprec Equipment Accounts Payable Notes: Payable David Wallace, Capital Olena Dunn, Capital C Account balances December 31, 2020 $ 48,700 $203,000 $ 106,000 $ 8,700 $ 29,000 $ 48,000 $ 31,000 $ Sale of equipment Balance Payment of liabilities Balance $ 48,700 $ 203,000 $ 106,000 $ 8,700 $ 29,000 $ 48,000 $ 31,000 $ $ 48,700 $ 203,000 $ 106,000 $ 8,700 $ 29,000 $ 48,000 $ 31,000 $ e answers should be indicated by a minus sign.) Accum. Cash Equipment Deprec. Equipment Accounts Payable David Olena Notes Danny Wallace, Dunn, Lin, Payable Capital Capital Capital $ 48,700 $ 203,000 $ 106,000 $ 8,700 $ 29,000 $ 48,000 $ 31,000 $ 29,000 $ 48,700 $ 203,000 $ 106,000 $ 8,700 $ 29,000 $ 48,000 $ 31,000 $ 29,000 $ 48,700 $ 203,000 $ 106,000 $ 8,700 $ 29,000 $ 48,000 $ 31,000 $ 29,000 2. Prepare the liquidation entries (sale of equipment, allocation of gain/loss, payment of creditors, final distribution of cash). View transaction list Journal entry worksheet 1 2 3 4 Record the sale of equipment. Note: Enter debits before credits. Date Jan 01, 2021 General Journal Debit Credit View transaction list 1 Record the sale of equipment. 2 Record the distribution of gain/loss on sale of equipment to partners. 3 Record the payment to creditors. 4 Record the distribution of remaining cash to partners. EX: Credit >