Lump-Sum Liquidation Three university students, Cho, Kenney, and Martinez, operated a successful business, renting furniture and...

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Lump-Sum Liquidation Three university students, Cho, Kenney, and Martinez, operated a successful business, renting furniture and appliances to students residing in dormitories and off-campus apartments. The three are now graduating and wish to sell the business before beginning their respective careers. They shared profits in a 6:2:4 ratio. The partnership's current balance sheet is as follows: Cash Receivables Loan receivable-Cho Rental equipment, net Total assets $6,000 Accounts payable 25,000 Loan payable-Kenney 20,000 Capital Cho 135,000 Capital-Kenney Capital-Martinez $60,000 15,000 26,000 28,000 57,000 $186,000 Total liabilities and capital $186,000 Another student group, organized as a corporation, wants to buy the business. Their offer of $105,000 for the equipment and $19,000 for the receivables is accepted. After receipt of the $124,000, the liabilities are paid and the partnership is liquidated. Required How much does each partner receive? Cash Distribution Cho $ Kenney $ Martinez $ (8,000) x (48,000) x Lump-Sum Liquidation Three university students, Cho, Kenney, and Martinez, operated a successful business, renting furniture and appliances to students residing in dormitories and off-campus apartments. The three are now graduating and wish to sell the business before beginning their respective careers. They shared profits in a 6:2:4 ratio. The partnership's current balance sheet is as follows: Cash Receivables Loan receivable-Cho Rental equipment, net Total assets $6,000 Accounts payable 25,000 Loan payable-Kenney 20,000 Capital Cho 135,000 Capital-Kenney Capital-Martinez $60,000 15,000 26,000 28,000 57,000 $186,000 Total liabilities and capital $186,000 Another student group, organized as a corporation, wants to buy the business. Their offer of $105,000 for the equipment and $19,000 for the receivables is accepted. After receipt of the $124,000, the liabilities are paid and the partnership is liquidated. Required How much does each partner receive? Cash Distribution Cho $ Kenney $ Martinez $ (8,000) x (48,000) x