Problem 15-10 (Algo) (LO 15-7)

Chen, Korhonen, Lebuca, and Swid are partners who share profits and losses on a 4:3:2:1 basis, respectively. They are beginning to liquidate the business. At the start of this process, capital balances are Chen, capital $ 63,000 Korhonen, capital 27,900 Lebuca, capital 46,000 Swid, capital 20,900 Required: Prepare a predistribution plan to determine which partner will be the first to receive cash from the liquidation and what amount that partner will receive before other partners receive any cash. Note: Amounts to be deducted should be entered with a minus sign.

Chen, Korhonen, Lebuca, and Swid are partners who share profits and losses on a 4:3:2-1 basis, respectively. They are beginning to liquidate the business. At the start of this process, capital balances are Required: Prepare a predistribution plan to determine which partner will be the first to receive cash from the liquidation and what amount that parther will receive before other partners receive any cash. Note: Amounts to be deducted should be entered with a minus sign