The CDG Carlos, Dan, and Gail Partnership has decided to liquidate as of December 1, 20X6. A balance sheet on the date follows: $ 34,500 94,000 119,000 338,000 $585,500 CDG PARTNERSHIP Balance Sheet At December 1, 20X6 Assets Cash Accounts Receivable (net) Inventories Property, plant and Equipment (net) Total Assets Liabilities and Capital Liabilities: Accounts Payable Capital: Carlos, Capital Dan, Capital Gail, Capital Total Capital Total Liabilities and Capital $307,300 $ 139,000 69,000 70,200 278,200 $585,500 Additional Information 1. Each partner's personal assets (excluding partnership capital interests) and personal liabilities as of December 1, 20X6, follow: Personal assets Personal liabilities Personal net worth Carlos $ 269,000 (239,500) $ 29,500 Dan $319,000 (230,500) $ 88,500 Gail $ 369,000 (339,000 $ 30,000 2. Carlos, Dan, and Gail share profits and losses in the ratio 15:45:40. 3. CDG sold all noncash assets on December 10, 20X6, for $277,000. Required: a. Prepare a statement of realization and liquidation for the CDG Partnership on December 10, 20X6. (Do not round your intermediate calculations. Round your final answers to the nearest whole dollar.) CDG PARTNERSHIP Statement of Realization and Liquidation Lump-sum Liquidation on December 10, 20X6 Cash Noncash Assets Liabilities Capital Balances Carlos Dan $ 139,000 $ 69,000 $ Gail 70,200 $ 34,500 Preliquidation balances Sale of assets and distribution of loss $ 0 $ 0 $ 139,000 $ 69,000 $ Cash contributed by Gail to extent of positive net worth 34,500 $ 30,000 64,500 $ 70,200 30,000 40,200 $ 0 $ 0 $ 139,000 $ 69.000 $ Distribution of deficit of insolvent partner $ 64,500 $ 0 $ 0 $ 139,000 $ 69,000 $ 40,200 Contribution by Dan to remedy deficit $ 64,500 $ 0 $ 0 $ 139,000 $ 69,000 $ 40,200 Payment to creditors $ 64,500 $ 0 $ 0 $ 139,000 $ 69,000 $ 40,200 Payment to partner Postliquidation balances $ 64,500 $ 0 $ 0 $ 139,000 $ 69,000 $ 40,200 b. Prepare a schedule of the net worth of each of the three partners as of December 10, 2006, after the liquidation of the partnership is completed assuming that no other events occurred in the 10-day period that changed any of the partners' personal assets and personal liabilities. (Round your answers to the nearest whole dollar.) CDG PARTNERSHIP Net Worth of Partners December 10, 20X6 $ Carlos 269,000 $ (239,500) 29,500 $ Dan 319,000 $ (230,500) 88,500 $ Gail 369,000 (339,000) 30,000 (30,000) Personal assets, excluding partnership capital interests Personal liabilities Personal net worth, excluding partnership capital interests, Dec. 1, 20X6 Contribution to partnership Liquidating distribution from partnership Net worth, December 10, 20X6 $ $ 29,500 $ 88,500 $ 0 b. Prepare a schedule of the net worth of each of the three partners as of December 10, 2006, after the liquidation of the partnership is completed assuming that no other events occurred in the 10-day period that changed any of the partners' personal assets and personal liabilities. (Round your answers to the nearest whole dollar.) CDG PARTNERSHIP Net Worth of Partners December 10, 20X6 $ Carlos 269,000 $ (239,500) 29,500 $ Dan 319,000 $ (230,500) 88,500 $ Gail 369,000 (339,000) 30,000 (30,000) Personal assets, excluding partnership capital interests Personal liabilities Personal net worth, excluding partnership capital interests, Dec. 1, 20X6 Contribution to partnership Liquidating distribution from partnership Net worth, December 10, 20X6 $ $ 29,500 $ 88,500 $ 0
