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The balance sheet of the Adam, Ben, and Charlie partnership on January 1, 2019 was as follows: Assets Liabilities & Equity Cash 100,000 AP 20,000
| The balance sheet of the Adam, Ben, and Charlie partnership on January 1, 2019 was as follows: | |||||||||
| Assets | Liabilities & Equity | ||||||||
| Cash | 100,000 | AP | 20,000 | ||||||
| Marketable Securities | 50,000 | ||||||||
| Inventory | 30,000 | Adam, Capital 30% | 100,000 | ||||||
| Land | 50,000 | Ben, Capital 40% | 125,000 | ||||||
| Building, net | 100,000 | Charlie, Capital 30% | 105,000 | ||||||
| Total Assets | 330,000 | Total Equity | 330,000 | ||||||
| In January, the Marketable Securities were sold for 40,000, the inventory was sold for 20,000. | |||||||||
| Make the journal entries for January and enter them into the distribution schedule. | |||||||||
| Make a safe payments schedule to then determine who and how much they can pay at January 31, 2019. | |||||||||
| Partnership Liquidation Schedule | |||||||||
| Cash | Marketable Securities | Inventory | Land | Building | AP | Adam | Ben | Charlie | |
| Jan. 1 Balance | 105,000 | ||||||||
| Sale of marketable securities | |||||||||
| Sale of inventory | |||||||||
| Balance before distribution | |||||||||
| Pay liabilities | |||||||||
| Cash distribution | |||||||||
| January 31, 2019 balances | |||||||||
| Safe Payments Schedule | |||||||||
| Adam | Ben | Charlie | |||||||
| Partners' predistribution balance | |||||||||
| Show journal entries for sale of securities, inventory, payment of liabilities, and distribution of cash. (4 entries) | |||||||||
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