Problem 12-03A a-c (Video) The partners in Sheridan Company decide to liquidate the firm when the balance sheet shows the following Assets Cash Accounts receivable Allowance for doubtful accounts Inventory Equipment Accumulated depreciation--equipment Sheridan Company Balance Sheet May 31, 2020 Liabilities and Owners' Equity $28,700 Notes payable $14,000 25,500 Accounts payable 27,500 (1,300) Salaries and wages payable 34,700 A. Jamison, capital 32,900 20,700 S. Moyer, capital 22,750 (5,100) R. Roper, capital 2,550 $103,200 $103,200 3,500 The partners share income and loss 5:3:2. During the process of liquidation, the following transactions were completed in the following sequence. 1. A total of $54,950 was received from converting noncash assets into cash. 2. Gain or loss on realization was allocated to partners. 3. Liabilities were paid in full. 4. P. Roper paid his capital deficiency. 5. Cash was paid to the partners with credit balances. Prepare the entries to record the transactions. (Credit account titles are automatically indented when an No. Account Titles and Explanation Debit Credit Post to the cash and capital accounts. (Post entries in Cash S. Moyer, Capital A. Jamison, Capital P. Roper, Capital Assume that Roper is unable to pay the capital deficiency. (Credit account titles are automatical (1) Prepare the entry to allocate Roper's debit balance to Jamison and Moyer. (2) Prepare the entry to record the final distribution of cash. No. Account Titles and Explanation Debit Credit