Matthews, Mitchell, and Michaels are partners in BG Land Development Company and share losses in a 5:3:2 ratio, respectively. The balance sheet on June 30, 20X1, when they decide to liquidate the business, is as follows: Assets Liabilities and Capital Cash Noncash Assets $ 10,000 176,000 Accounts Payable $ 30,000 Mitchell, Loan 10,000 Matthews, Capital 83,000 Mitchell, Capital 43,800 Michaels, Capital Total Assets: $186,000 Total Liabilities and Equities 19,200 $186,000 The noncash assets are sold for $130,000. Required: a. Prepare a statement of partnership realization and liquidation. BG LAND DEVELOPMENT COMPANY Statement of Partnership Realization and Liquidation Lump Sum Distribution Capital Balances Cash Noncash Assets Accounts Payable Mitchell Loan Matthews Mitchell Michaels Balances Sale of assets $ 05 05 05 0 S 0 $ 0 $ Payment to creditors Outside Creditors Mitchell $ 0 $ 0 S 0 S 05 0 $ 0 $ 0 Payment to partners Balances S 0 $ 0 S 0 S 0 $ 0 $ 0 $ 0 b. Prepare the required journal entries to account for the liquidation of the BG Land Development Company. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet A B C Record the sale of the assets.