The Drysdale, Koufax, and Marichal partnership has the following balance sheet immediately prior to liquidation:

Cash	$	45,000	Liabilities	$	43,500
Noncash assets		249,000	Drysdale, loan		30,000
			Drysdale, capital (50%)		83,500
			Koufax, capital (30%)		73,500
			Marichal, capital (20%)		63,500

1. Liquidation expenses are estimated to be $24,000. Prepare a predistribution schedule to guide the distribution of cash.
2. Assume that assets costing $83,000 are sold for $64,500. How is the available cash to be divided?

Req A1 Req A2 Req B Assume that assets costing $83,000 are sold for $64,500. Prepare loss allocation table. Partner Capital Balance Loss Allocation Maximum Loss That Can Be Absorbed Schedule 1 Drysdale Koufax Marichal Schedule 2 Koufax Marichal Req A1 Req A2 Req B Liquidation expenses are estimated to be $24,000. Prepare a predistribution schedule to guide the distribution of cash. DRYSLADE, KOUFAX, AND MARICHAL Distribution of Available Cash First Liabilities Liquidation expenses Next Next All remaining cash Req A1 Req A2 Req B ---- Assume that assets costing $83,000 are sold for $64,500. How is the available cash to be divided? Drysdale Koufax Marichal Reported balances Assumed loss Schedule 1 Adjusted balances Assumed loss Schedule 2 Adjusted balances