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1. Maeva, Cloe, and Zack are partners with a capital balance of $5 each. The partners have equal interests in the partnership. Zack is fed up with Maeve and Cloe's quarrels and wants to withdraw from the partnership. The partnership's net assets are fairly valued. If Maeve acquires Zack's interest for $2. Maeve's capital after the withdrawal of Zack is $10

2. Maeva, Cloe, and Zack are partners with a capital balance of $5 each. The partners have equal interests in the partnership. Zack is fed up with Maeve and Cloe's quarrels and wants to withdraw from the partnership. The partnership's net assets are fairly valued. If the partnership pays Zack $7 as settlement of his partnership interest. Cloe's capital after the withdrawal of Ice Bear is $4.

3. Maeva, Cloe, and Zack are partners with a capital balance of $5 each. The partners have equal interests in the partnership. Zack is fed up with Maeve and Cloe's quarrels and wants to withdraw from the partnership. The partnership's net assets are fairly valued. If Cloe was able to persuade Zack to stay on the condition that the partnership should be converted into a corporation, and the corporation issued 4 shares with a par value of $1 per share to each of the partners, then the credit to share premium is $2.

4. A partnership has total assets of $5 (all non-cash), total liabilities of $1, and the following capital balances, A capital (50%) $2 and B, Capital (50%) $2. If total assets were sold for %4, then the loss on sale is $2.

5. A partnership has total assets of $5 (all non-cash), total liabilities of $1, and the following capital balances, A capital (50%) $2 and B, Capital (50%) $2. If total assets were sold for $4, then A's share in the final cash distribution is $1.

1. On January 1, 20x1, the partners of ABC Co. decided to liquidate their partnership on installment basis. Distributions to partners shall be made as cash becomes available. The following information was made available:

Dr. Cr.

Cash 80,000

Accounts receivable 240,000

Receivable from C 40,000

Inventory 480,000

Equipment 1,200,000

Accounts payable 120,000

Payable to B 80,000

A, Capital (20%) 400,000

A, Drawings 80,000

B, Capital (30%) 600,000

C, Capital (50%) 800,000

C, Drawings 120,000

Totals 2,120,000 2,120,000

During January, non-cash assets with carrying amount of $520,000 were sold for $240,000. The cost of disposal was $80,000. All of the partners are personally insolvent. How much did B receive in the partial settlement of his capital account?

2. On January 1, 20x1, the partners of ABC Co. decided to liquidate their partnership. The following information was made available:

Cash 80,000

Accounts receivable 240,000

Inventory 480,000

Equipment 1,200,000

Total 2,000,000

Accounts payable 120,000

Payable to B 80,000

A, Capital (20%) 400,000

B, Capital (30%) 600,000

C, Capital (50%) 800,000

Total 2,000,000

Information on the conversion of non-cash assets is as follows:

$40,000 was collected on accounts receivable; the balance is uncollectible.

$20,000 was received for the entire inventory.

The equipment was sold for $200,000.

$8,000 liquidation expenses were paid.

$108,000 was paid to outside creditors, after offset of a $12,000 credit memorandum received on January 2, 20x1.

All of the partners are personally solvent.

How much did B receive from the settlement of his interest in the partnership?

3. ABC Co. is undergoing liquidation. Information before the start of the liquidation process is as follows:

Cash 10,000 Accounts payable 80,000

Accounts receivable 80,000 Payable to B 20,000

Receivable from A 10,000 A, Capital (50%) 250,000

Inventory 180,000 B, Capital (30%) 150,000

Equipment, net 320,000 C, Capital (20%) 100,000

Total 600,000 Total Liab. & Equity 600,000

The total cash distributed to the partners after the first and second sales of noncash assets were $12,000 and $30,000, respectively. How much cash did B receive in the first cash distribution?

4. On January 1, 20x1, A and B decided to liquidate their partnership. As of this date, their capital balances were $400,000 and $800,000, respectively. The partners share profits and losses on a 60:40 ratio. Before liquidation, the partnership had $80,000 cash and $120,000 liabilities. The partnership incurred loss of $480,000 on the sale of non-cash assets. A is solvent but B is insolvent. How much was the carrying amount of the non-cash assets?

5. On January 1, 20x1, A and B, who share profits and losses on a 60:40 ratio, decided to liquidate their partnership. After all the non-cash assets of the partnership were sold for $760,000 and all the $120,000 liabilities were settled, the partners had $720,000 to distribute among themselves. A received $112,000 in the settlement of his $400,000 capital balance. How much was the total assets immediately before liquidation?