Davis, Varndell, and Walden are liquidating their partnership. before selling the assets and paying the liabilities, the capital balances are Davis $42,000; Varndell, $31,000; and Walden, $13,000. The profit and loss sharing radio has been 2:1:1 Davis, Barndell, and Walden, respectively. The partnership has $72,000 cash, $43,000 non-cash assets, and $29,000 accounts payable.

Requirements 1. Assuming the partnership sells the non-cash assets for $53,000, record the journal entries for the sale of non-cash assets, allocation of gain or loss on liquidation, the payment of the outstanding liabilities, and the distribution of remaining cash to partners. 2. Assuming the partnership sells the non-cash assets for $11,000, record the journal entries for the sale of non-cash assets, allocation of gain or loss on liquidation, the payment of the outstanding liabilities, and the distribution of remaining cash to partners