Prepare journal entries to record these liquidation transactions.

List Of Journal Entries (JE):

1. Record the cash received from accounts receivable and loss allocated to partners.

2. Record the cash received from land, building and equipment and allocate loss to partners.

3. Record the entry for initial distribution of cash as per predistribution plan.

4. Record Guthrie's insolvency.

5. Record the settlement of all liabilities.

6. Record the cash received from inventory and loss allocated to partners.

7. Record the distribution of cash as per predistribution plan.

8. Record the cash paid for liquidation expenses.

9. Record the elimination of deficit balance of insolvent partner.

10. Record the distribution of remaining cash based on final capital balances.

Problem 10-32 (Algo) (LO 10-2, 10-7) The partnership of Wingler, Norris, Rodgers, and Guthrie was formed several years ago as a local architectural firm. Several partners have recently undergone personal financial problems and have decided to terminate operations and liquidate the business. The following balance sheet is drawn up as a guideline for this process: Cash Accounts receivable Inventory Land Building and equipment (net) $ 27,000 Liabilities 94,000 Rodgers, loan 113,000 Wingler, capital (30%) 91,000 Norris, capital (10%) 174,000 Rodgers, capital (20%) Guthrie, capital (40%) $499,000 Total liabilities and capital $ 67,000 47,000 138,000 100,000 80,000 67,000 $499,000 Total assets When the liquidation commenced, liquidation expenses of $14,000 were anticipated as being necessary to dispose of all property. Part A Prepare a predistribution plan for this partnership. Part B The following transactions transpire during the liquidation of the Wingler, Norris, Rodgers, and Guthrie partnership: 1. Collected 80 percent of the total accounts receivable with the rest judged to be uncollectible. 2. Sold the land, building, and equipment for $156,000. 3. Distributed safe payments of cash. 4. Learned that Guthrie, who has become personally insolvent, will make no further contributions. 5. Paid all liabilities. 6. Sold all inventory for $81,000. 7. Distributed safe payments of cash again. 8. Paid actual liquidation expenses of $11,000 only. 9. Made final cash disbursements to the partners based on the assumption that all partners other than Guthrie are personally solvent Complete this question by entering your answers in the tabs below. Required A Required B Prepare a predistribution plan for this partnership. (Do not round intermediate calculations.) Norris, Wingler, Capital Rodgers, Loan and Capital $ 127,000 Guthrie, Capital Capital $ 100,000 $ 138,000 $ 67,000 $ 138,000 $ 100,000 $ 127,000 $ 67,000 Beginning balances Assumed loss of Schedule 1 Step one balances Assumed loss of Schedule 2 Step two balances Assumed loss of Schedule 3 Step three balances $ 138,000 $ 100,000 $ 127,000 $ 67,000 $ 138,000 $ 100,000 $ 127,000 $ 67,000 Complete this question by entering your answers in the tabs below. Required A Required B Prepare journal entries to record these liquidation transactions. (Do not round intermediate calculations. Round the final answers to nearest dollar amounts. If no entry is required for a particular transaction/event, select "No journal entry required" in the first account field.) No General Journal Debit Credit Transaction 01 1 Cash Wingler, Capital Norris, Capital Rodgers, Capital Guthrie, Capital Accounts receivable 2 02 Cash Wingler, Capital Norris, Capital Rodgers, Capital Guthrie, Capital Land Building and equipment 3 03 Wingler, Capital Norris, Capital Rodgers, Loan Rodgers, Capital Cash 4 04 No journal entry required 01 05 Liabilities Cash 6 06 Cash Wingler, Capital Norris, Capital Rodgers, Capital Guthrie, Capital Inventory 7 07 Wingler, Capital Norris, Capital Rodgers, Capital Cash 8 08 Wingler, Capital Norris, Capital Rodgers, Capital Guthrie, Capital Cash 9 9.a Wingler, Capital Norris, Capital Rodgers, Capital Guthrie, Capital 10 9.b Wingler, Capital Norris, Capital Rodgers, Capital