The A, B & C Partnership decided to liquidate on April 1, Year 10, follows, with

income-sharing ratio indicated parenthetically:

Balance Sheet

April 1, Year 10

Assets Liabilities & Partners Capital

Cash $30,000 Accounts Payable $60,000

Other assets 250,000 Arthur, capital (4) 60,000

Baker, capital (5) 120,000

Casey, capital (1) 40,000

Total $280,000 Total $280,000

On April 1, Year 10, other assets with a carrying amount of $100,000 were sold for $70,000 and all available cash ($100,000 of cash) was distributed in a safe manner.

Prepare journal entries for the Arthur, Baker, & Casey Partnership on April 1, Year 10, to record the

sale of the other assets and the distribution of available cash to creditors and partners.

A journal entry can be shown as debit cash/debit accounts receivable/credit sales - then formatting will not be an issue.