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March, April, and May have been in partnership for a number of years. The partners allocate all profits and losses on a 4 : 2
March, April, and May have been in partnership for a number of years. The partners allocate all profits and losses on a :: basis, respectively. Recently, each partner has become personally insolvent and, thus, the partners have decided to liquidate the business in hopes of remedying their personal financial problems. As of September the partnerships balance sheet is as follows:
Cash $ Liabilities $
Accounts receivable March, capital
Inventory April, capital
Land, building, and equipment net May, capital
Total assets $ Total liabilities and capital $
Prepare journal entries for the following transactions: Do not round intermediate calculations. If no entry is required for a transactionevent select No journal entry required" in the first account field.
Sold all inventory for $ cash.
Paid $ in liquidation expenses.
Paid $ of the partnerships liabilities.
Collected $ of the accounts receivable.
Distributed safe payments of cash; the partners anticipate no further liquidation expenses.
Sold remaining accounts receivable for percent of face value.
Sold land, building, and equipment for $
Paid all remaining liabilities of the partnership.
Distributed cash held by the business to the partners.
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