Installment Liquidation. Schedule of Safe payments.

Sonie, Richie and Louie are partners in SRL Trading. They decide to liquidate the partnership on August 31, 2023. The statement of financial position of the firm follows:

Assets

Cash 35,200

Other Assets 101,250

Total Assets 136,450

Equities

Accounts Payable 58,100

Loan Payable, Sonie 7,500

Sonie, Capital 23,850

Richie, Capital 20,000

Louie, Capital 27,000

Total Equities 136,450

It is agreed that cash distributions be made at the end of each month provided there is sufficient cash for this purpose. Sonie, Richie and Louie share profits and losses in the ratio 40:20:40 respectively.

The liquidation transactions for three months are as follows:

	Type of Asset	Carrying Value	Cash Proceeds
September	Merchandise Inventory	40,500	35,800
October	Office Equipment	26,750	30,050
November	Office Furniture	34,000	23,456

Required: Prepare a statement of liquidation and safe payments schedule