Problem 12-6A Liquidation of a partnership LO P5 Kendra, Cogley, and Mei share income and loss in a 3:2:1 ratio. The partners have decided to liquidate their partnership. On the day of liquidation their balance sheet appears as follows. Assets Cash Inventory KENDRA, COGLEY, AND MEI Balance Sheet May 31 Liabilities and Equity $ 79,500 Accounts payable 549,000 Kendra, Capital Cogley, Capital Mei, Capital $628,500 Total liabilities and equity $246,000 76,500 172, 125 133,875 $628,500 Total assets Required: For each of the following scenarios, complete the schedule allocating the gain or loss on the sale of inventory. Prepare journal entries to record the below transactions. (Do not round intermediate calculations. Amounts to be deducted or Losses should be entered with a minus sign. Round your final answers to the nearest whole dollar.) (1) Inventory is sold for $609,000. (2) Inventory is sold for $459,000. (3) Inventory is sold for $344,400 and any partners with capital deficits pay in the amount of their deficits. (4) Inventory is sold for $272,400 and the partners have no assets other than those invested in the partnership. Complete this question by entering your answers in the tabs below. Required Required Required Required Required Required Required Required 1 1 GJ 2 2 GJ 3 3 GJ 4 4 GJ Complete the schedule allocating the gain or loss on the sale of inventory is $609,000. Step 1) Determination of Gain (Loss) Proceeds from the sale of inventory $ 609,000 Inventory cost Step 2) Allocation of the Gain (Loss) to the Partners. KENDRA COGLEY $ Initial capital balances $ 76,500 172,125 Allocation of gains (losses) Capital balances after gains (losses) MEI $ 133,875 Total $ 382,500 Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Required Required Required Required Required Required Required Required 1 1 GJ 2 2 GJ 3 3 G) 4 4 G) Prepare journal entries to record the inventory is sold for $609,000. Required Required Required Required Required Required Required Required 1 1 GJ 2 2 G) 3 3 G) 4 4 G) Prepare journal entries to record the inventory is sold for $609,000. View transaction list View transaction list Journal entry worksheet > Record the sale of inventory. Allocate the gain(loss) on the sale of inventory to the partners. Note: Enter debits before credits. Note: Enter debits before credits. Transaction General Journal (a) Debit Credit General Journal Debit Credit Transaction (b) Record entry View general journal Record entry View general journal Clear entry Clear entry Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Required Required Required Required Required Required Required Required 1 1 G) 2 2 GJ 3 3 G) 4 4 G) Prepare journal entries to record the inventory is sold for $609,000. 4 Required Required Required Required Required Required Required Required 1 1 GJ 2 2 GJ 3 3 G) 4 G) Prepare journal entries to record the inventory is sold for $609,000. View transaction list View transaction list Journal entry worksheet > Record the payment of the liabilities. Record the disbursement of the remaining cash to the partners Note: Enter debits before credits. Note: Enter debits before credits. Transaction General Journal (c) Debit Credit General Journal Transaction (d) Debit Credit Record entry View general journal Record entry View general journal Clear entry Clear entry Complete this question by entering your answers in the tabs below. Required Required Required Required Required Required Required Required 1 1 GJ 2 2 GJ 3 3 GJ 4 GJ 4 Complete the schedule allocating the gain or loss on the sale of inventory is $459,000. Step 1) Determination of Gain (Loss) Proceeds from the sale of inventory $ 459,000 Inventory cost Total Step 2) Allocation of the gain (Loss) to the Partners. KENDRA COGLEY Initial capital balances $ 76,500 $ 172, 125 Allocation of gains (losses) Capital balances after gains (losses) MEI $ 133,875 $ 382,500 Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. 4 Required Required Required Required Required Required Required Required 1 1 G) 2. 2 G 3 G) 4 GJ Prepare journal entries to record the inventory is sold for $459,000. Required Required Required Required Required Required Required Required 1 G] 2 2 G) 3 3 G) 4 4 G) Prepare journal entries to record the inventory is sold for $459,000. View transaction list View transaction list Journal entry worksheet Journal entry worksheet Record the sale of inventory. . Allocate the gain(loss) on the sale of inventory to the partners. Note: Enter debits before credits. Note: Enter debits before credits. General Journal Debit Credit General Journal Debit Credit Transaction (a) Transaction (b) Record entry View general journal Record entry View general journal Clear entry Clear entry Complete this question by entering your answers in the tabs below. Required Required Required Required Required Required Required Required 1 1 GJ 2 2 G 3 3 GJ 4 4 G Prepare journal entries to record the inventory is sold for $459,000. 4 Required Required Required Required Required Required Required Required 1 1 GJ 2 2 GJ 3 3 G) 4 G) Prepare journal entries to record the inventory is sold for $459,000. View transaction list View transaction list Journal entry worksheet Journal entry worksheet Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Required Required Required Required Required Required Required Required 1 1 162 263 364 46 Prepare joumal entries to record the inventory is sold for $344,400 and any partners with capital deficits pay in the amount of their deficits. View transaction list Required Required Required Required Required Required Required Required 1 1 G) 2 2G) 3 3G) 4G) Prepare journal entries to record the inventory is sold for $344,400 and any partners with capital deficits pay in the amount of their deficits. View transaction list Journal entry worksheet > Journal entry worksheet 3 4 5 Allocate the gain(loss) on the sale of inventory to the ( Record the sale of inventory. Note: Enter debits before credits Transaction General Journal (a) Debit Credit Note: Enter debits before credits. Transaction General Journal (0-1) Debit Credit Record entry View general journal Record entry View general journal Clear entry Clear entry Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. 2 Required Required Required Required Required Required Required Required 1 G) 2 2G) 3 3G) 4G) Prepare journal entries to record the inventory is sold for $344,400 and any partners with capital deficits pay in the amount of their deficits. Required Required Required Required Required Required Required Required 1 1 G) 2 G) 3G) 4 4G) ) Prepare journal entries to record the inventory is sold for $344,400 and any partners with capital deficits pay in the amount of their deficits. View transaction list View transaction list Journal entry worksheet Journal entry worksheet The partner(s) with deficit balances repay the amount of their deficit(s) Record the payment of the liabilities. Note: Enter debits before credits Transaction General Journal (b-2) Debit Credit Note: Enter debits before credits. Transaction General Journal c) Debit Credit Record entry View general journal Record entry View general journal Clear entry Clear entry Complete this question by entering your answers in the tabs below. 1G) Required Required Required Required Required Required Required Required 2 G) 3G) 4 4 G) Prepare journal entries to record the inventory is sold for $344,400 and any partners with capital deficits pay in the amount of their deficits. View transaction list Journal entry worksheet 12 Record the sale of inventory for $272,400. Journal entry worksheet View transaction list Journal entry worksheet