Following is a series of independent cases. In each situation, indicate the cash distribution to be made at the end of the liquidation process. Unless otherwise stated, assume that all solvent partners will reimburse the partnership for their deficit capital balances.

a.	The Simon, Haynes, and Jackson partnership presently reports the following accounts. Jackson is personally insolvent and can contribute only an additional $7,000 to the partnership. Simon is also insolvent and has no available funds.

Cash	$ 41,000
Liabilities	33,000
Haynes, loan	32,000
Simon, capital (40%)	27,000
Haynes, capital (20%)	(17,000)
Jackson, capital (40%)	(34,000)

	Simon, Capital	Haynes, Loan and Capital	Jackson, Capital
Beginning balances
Contribution by Jackson
Capital balances
Elimination of Jackson's deficit
Final distribution

b.	Hough, Luck, and Cummings operate a local accounting firm as a partnership. After working together for several years, they have decided to liquidate the partnership's property. The partners have prepared the following balance sheet:

Cash	$ 31,000	Liabilities	$ 38,000
Hough, loan	19,000	Luck, loan	24,000
Noncash assets	184,000	Hough, capital (50%)	123,000
		Luck, capital (40%)	23,000
		Cummings, capital (10%)	26,000
Total assets	$234,000	Total liabilities and capital	$234,000

The firm sells the noncash assets for $91,000; it will use $32,000 of this amount to pay liquidation expenses. All three of these partners are personally insolvent. Allocation based on 50:40:10 for Hough, Luck and Cummings capital respectively.

	Simon, Capital	Haynes, Loan and Capital	Jackson, Capital
Beginning balances
Contribution by Jackson
Capital balances
Elimination of Jackson's deficit
Final distribution

c.	Hough, Luck, and Cummings operate a local accounting firm as a partnership. After working together for several years, they have decided to liquidate the partnerships property. The partners have prepared the following balance sheet:

Cash	$ 31,000	Liabilities	$ 38,000
Hough, loan	19,000	Luck, loan	24,000
Noncash assets	184,000	Hough, capital	123,000
		Luck, capital	23,000
		Cummings, capital	26,000
Total assets	$234,000	Total liabilities and capital	$234,000

Assume that the profits and losses are split 2:4:4 to Hough, Luck, and Cummings, respectively, and that liquidation expenses are only $17,000. The firm sells the noncash assets for $91,000; All three of these partners are personally insolvent. (Do not round intermediate calculations. )

	Hough, Loan and Capital	Luck, Loan and Capital	Cummings, Capital
Beginning balances
Loss on disposal
Liquidation expenses
Capital balances
Allocation of Cummings' deficit balance
Capital balances
Allocation of Luck's deficit balance
Final distribution

d.	Following the liquidation of all noncash assets, the partnership of Redmond, Ledbetter, Watson, and Sandridge has the following account balances:

Liabilities	$ 35,000
Redmond, loan	16,000
Redmond, capital (20%)	(43,000)
Ledbetter, capital (10%)	(41,000)
Watson, capital (30%)	7,000
Sandridge, capital (40%)	26,000

Redmond is personally insolvent.

Redmond Loan Capital Ledbetter Capital Watson Capital Sandridge Capital

Beginning Balances

Allocation of Redmond's deficient balance

Capital Balance

Contribution by Ledbetter and Watson

Final Distribution