On January 1, 20X1, partners Art, Bru, and Chou, who share profits and losses in the ratio of 5:3:2, respectively, decide to liquidate their partnership. The partnership trial balance at this date follows: Debit Credit Cash $ 22,000 Accounts Receivable 76,000 Inventory 62,000 Machinery and Equipment (net) 199,000 Accounts Payable $ 57,000 Art, Capital 98,000 Bru, Capital 120,000 Chou, Capital 84,000 Total $ 359,000 $ 359,000 The partners plan a program of piecemeal conversion of assets to minimize liquidation losses. All available cash, less an amount retained to provide for future expenses, is to be distributed to the partners at the end of each month. A summary of the liquidation transactions follows: January 20X1 Collected $59,000 on accounts receivable; the balance is uncollectible. Received $44,000 for the entire inventory. Paid $4,000 liquidation expenses. Paid $52,500 to creditors, after offset of a $4,500 credit memorandum received on January 11, 20X1. Retained $11,000 cash in the business at the end of the month for potential unrecorded liabilities and anticipated expenses. February 20X1 Paid $6,000 liquidation expenses. Retained $5,000 cash in the business at the end of the month for potential unrecorded liabilities and anticipated expenses. March 20X1 Received $156,000 on sale of all items of machinery and equipment. Paid $4,500 liquidation expenses. Retained no cash in the business.

Required: Prepare a statement of partnership liquidation for the partnership with schedules of safe payments to partners