Question 1 (11 points) Patel, Khan and Thomas are partners in a consulting business. They have capital balances of $15,000, $8,000 and $9,000 respectively and have an income ratio of 2:3:5. They take no salary and do not get any interest on their capital balances. The partnership has the following assets and liabilities: Cash $20,000; Accounts Receivable $7,000; Computer Equipment $60,000; Accumulated Amortization - Computer Equipment $ 40,000; Notes Payable $15,000. On December 1, the partners decide to liquidate the assets and close the partnership. They manage to collect all of the Accounts Receivable but could get only $12400 for the computer equipment. Journalize the transactions related to all four steps of liquidating the partnership. Page 2 General Journal Debit Credit 3 Date Particulars 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 24 Anwar Calculations Balance Sheet (After Liquidation & Before Closing the Partnership) Assets Cash Equity Patel, Capital Khan, Capital Thomas, Capital Total Equity 0.00 Patel 15,000 Khan 8,000 Thomas 9,000 Total 32,000 Beginning Capital Balance Gain/Loss on Disposal of Assets Ending Capital Balance before Closing