The CDG Carlos, Dan, and Gail Partnership has decided to liquidate as of December 1, 20X6. A balance sheet on the date follows: $ 31,000 87,000 112,000 324,000 $554,000 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 $288,000 $132,000 62,000 72,000 266,000 $554,000 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 $ 262,000 (236,000) $ 26,000 Dan $312,000 (234,000) $ 78,000 Gail $ 362,000 (339, 100) $ 22,900 2. Carlos, Dan, and Gail share profits and losses in the ratio 20:40:40. 3. CDG sold all noncash assets on December 10, 20X6, for $270,500. 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.) 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.) Answer is not complete. CDG PARTNERSHIP Statement of Realization and Liquidation Lump-sum Liquidation on December 10, 20X6 Capital Balances Cash Liabilities Carlos Dan Gail Noncash Assets 523,000 $ $ 288,000 $ 132,000 $ 62,000 $ 72,000 Preliquidation balances Sale of assets and distribution of loss 31,000 270,500 301,500 (523,000) 1$ $ 0 $ 288,000 $ 132,000 $ 62,000 $ 72,000 Cash contributed by Gail to extent of positive net worth $ 301,500 $ 0 $ 288,000 $ 132,000 $ 62,000 $ 72,000 Distribution of deficit of insolvent partner $ 301,500 $ 0 $ 288,000 $ 132,000 $ 62,000 $ 72,000 Contribution by Dan to remedy deficit $ 301,500 $ 0 $ 288,000 $ 132,000 $ 62,000 $ 72,000 Payment to creditors $ 301,500 $ 0 $ 288,000 $ 132,000 $ 62,000 $ 72,000 Payment to partner Postliquidation balances $ 301,500 0 $ 288,000 $ 132,000 $ 62,000 $ 72,000 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.) Answer is not complete. CDG PARTNERSHIP Net Worth of Partners December 10, 20X6 Carlos Dan Gail $ 0 $ 0 $ 0 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 $ 0 $ 0 $ 0
