Problem 15-33 (Algo) (LO 15-2, 15-7) [The following information applies to the questions displayed below.] The partnership of Butler, Osman, and Ward was formed several years ago as a local tax preparation firm. Two partners have reached retirement age, and the partners have decided to terminate operations and liquidate the business. Liquidation expenses of $35,000 are expected. The partnership balance sheet at the start of liquidation is as follows: Cash Accounts receivable Office equipment (net) Building (net) Land Total assets Liabilities Butler, loan $ 31,000 $171,000 61,000 31,000 51,000 Butler, capital (25%) 55,000 115,000 Osman, capital (25%) 31,000 105,000 $ 363,000 Ward, capital (50%) 75,000 Total liabilities and capital $363,000 Problem 15-33 Part A Prepare a predistribution plan for this partnership. Butler, Loan and Capital Osman, Capital Ward, Capital Beginning balances Assumed loss of Schedule 1 Step one balances $ 0 $ 0 $ 0 Assumed loss of Schedule 2