On January 1, the partners of Van, Bakel, and Cox (who share profits and losses in the ratio of 5:3:2, respectively) decide to terminate operations and liquidate their partnership. The trial balance at this date follows: Credit Debit $ 38,000 106,000 92,000 229,000 70,000 Cash Accounts receivable Inventory Machinery and equipment, net Van, loan Accounts payable Bakel, loan Van, capital Bakel, capital Cox, capital Totals $ 91,000 60,000 180,000 110,000 94,000 $ 535,000 $ 535,000 The partners plan a program of piecemeal conversion of the partnership's 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 transaftions follows: January Collected $71,000 of the accounts receivable; the balance is deemed uncollectible. Received $58,000 for the entire inventory. Paid $6,000 in liquidation expenses. Paid $84,000 to the outside creditors after offsetting a $7,000 credit memorandum received by the partnership on January 11. Retained $30,000 cash in the business at the end of January to cover liquidation expenses. The remainder is distributed to the partnera. February Paid $7,000 in liquidation expenses. Retained $18,000 cash in the business at the end of the month to cover additional liquidation expenses. Prepare proposed schedules of liquidation on January 31, February 28, and March 31 to determine the safe payme made to the partners at the end of each of these three months. Complete this question by entering your answers in the tabs below. January February March Prepare proposed schedule of liquidation to determine the safe payments made to the partners at the end of January. deducted should be entered with a minus sign.) VAN, BAKEL, AND COX PARTNERSHIP Proposed Schedule of Liquidation January 31 Noncash Cash Liabilities Assets Van, Capital and Loan 50% Bakel, Capital and Loan 30% Cox, Capital 20% Balances - January 1 Collected accounts receivable Sold inventory Paid liquidation expenses Paid accounts payable Subtotal (actual balances) Maximum loss on assets Maximum liquidation expenses Subtotal (potential balances) 0 0 0 0 0 0 0 0 $ 0 0 0 0 January February March Prepare proposed schedule of liquidation to determine the safe payments made to the partners at the end of February. (Amdunts to be entered with a minus sign.) VAN, BAKEL, AND COX PARTNERSHIP Proposed Schedule of Liquidation February 28 Cash Noncash Assets Liabilities Van, Capital and Loan 50% Bakel, Capital and Loan 30% Cox, Capital 20% 0 0 0 0 0 0 0 0 0 0 0 0 Salances before January 31 safe payments jafe payments to partners - January 31 Salances - February 1 'aid liquidation expenses subtotal (actual balances) Maximum loss on assets Maximum liquidation expenses jubtotal (potential balances) Wlocation of deficit capital balance jafe payments to partners - February 28 0 0 0 0 0 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 E On January 1, the partners of Van, Bakel, and Cox (who share profits and losses in the ratio of 5:3:2, respectively) decide to terminate operations and liquidate their partnership. The trial balance at this date follows: Credit Debit $ 38,000 106,000 92,000 229,000 70,000 Cash Accounts receivable Inventory Machinery and equipment, net Van, loan Accounts payable Bakel, loan Van, capital Bakel, capital Cox, capital Totals $ 91,000 60,000 180,000 110,000 94,000 $ 535,000 $ 535,000 The partners plan a program of piecemeal conversion of the partnership's 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 transaftions follows: January Collected $71,000 of the accounts receivable; the balance is deemed uncollectible. Received $58,000 for the entire inventory. Paid $6,000 in liquidation expenses. Paid $84,000 to the outside creditors after offsetting a $7,000 credit memorandum received by the partnership on January 11. Retained $30,000 cash in the business at the end of January to cover liquidation expenses. The remainder is distributed to the partnera. February Paid $7,000 in liquidation expenses. Retained $18,000 cash in the business at the end of the month to cover additional liquidation expenses. Prepare proposed schedules of liquidation on January 31, February 28, and March 31 to determine the safe payme made to the partners at the end of each of these three months. Complete this question by entering your answers in the tabs below. January February March Prepare proposed schedule of liquidation to determine the safe payments made to the partners at the end of January. deducted should be entered with a minus sign.) VAN, BAKEL, AND COX PARTNERSHIP Proposed Schedule of Liquidation January 31 Noncash Cash Liabilities Assets Van, Capital and Loan 50% Bakel, Capital and Loan 30% Cox, Capital 20% Balances - January 1 Collected accounts receivable Sold inventory Paid liquidation expenses Paid accounts payable Subtotal (actual balances) Maximum loss on assets Maximum liquidation expenses Subtotal (potential balances) 0 0 0 0 0 0 0 0 $ 0 0 0 0 January February March Prepare proposed schedule of liquidation to determine the safe payments made to the partners at the end of February. (Amdunts to be entered with a minus sign.) VAN, BAKEL, AND COX PARTNERSHIP Proposed Schedule of Liquidation February 28 Cash Noncash Assets Liabilities Van, Capital and Loan 50% Bakel, Capital and Loan 30% Cox, Capital 20% 0 0 0 0 0 0 0 0 0 0 0 0 Salances before January 31 safe payments jafe payments to partners - January 31 Salances - February 1 'aid liquidation expenses subtotal (actual balances) Maximum loss on assets Maximum liquidation expenses jubtotal (potential balances) Wlocation of deficit capital balance jafe payments to partners - February 28 0 0 0 0 0 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 E