Fred and George been in partnership for many years. The partners, share profits and on a 60:40 basis, respectively, wish to retire and have agreed to liquidate the business. Liquidation expenses are estimated to be $10,000. At the date the partnership ceases operations, the balance sheet is as follows 80,000 Cash $100,000 Liabilities 200,000 Fred, capital 100,000 Noncash assets. George, capital 120,000 Total assets $300,000 Total liabilities and capital $300,000