The Drysdale, Koufax, and Marichal partnership has the following balance sheet immediately prior to liquidation: Cash Noncash assets $ 37, eae 299,000 Liabilities Drysdale, loan Drysdale, capital (50%) Koufax, capital (30%) Marichal, capital (20%) $ 49, eee 12,500 71,5ee 61,500 51,500 0-1. Determine the maximum loss that can be absorbed in Step 1. Then, assuming that this loss has been incurred. determine the next maximum loss that can be absorbed in Step 2. --2. Liquidation expenses are estimated to be $15,000. Prepare a predistribution schedule to guide the distribution of cash. Further, modify the tags in explanation as well. b. Assume that assets costing $75.000 are sold for $60.500. How is the available cash to be divided? Complete this question by entering your answers in the tabs below. Reg A1 Reg A2 ReqB Determine the maximum loss that can be absorbed in Step 1. Then, assuming that this loss has been incurred, determine the next maximum loss that can be absorbed in Step 2. Loss Partner Capital Balance Allocation Maximum Loss That Can Be Absorbed 96 96 Step 1 Drysdale Koufax Marichal Step 2 Koufax Marichal 96 % 96 The Drysdale, Koufax, and Marichal partnership has the following balance sheet immediately prior to liquidation: Cash Noncash assets $ 37,90 209,00 Liabilities Drysdale, loan Drysdale, capital (50%) Koufax, capital (30%) Marichal, capital (20%) $ 49,00 12,5ee 71, see 61, see 51,5ee 2-1. Determine the maximum loss that can be absorbed in Step 1. Then, assuming that this loss has been incurred. determine the next maximum loss that can be absorbed in Step 2. --2. Liquidation expenses are estimated to be $16.000. Prepare a predistribution schedule to guide the distribution of cash. Further, modify the tags in explanation as well. b. Assume that assets costing $75.000 are sold for $60.500. How is the available cash to be divided? Complete this question by entering your answers in the tabs below. Reg A1 Reg A2 ReqB Liquidation expenses are estimated to be $15,000. Prepare a predistribution schedule to guide the distribution of cash. Further, modify the tags in explanation as well. DRY SDALE, KOUFAX, AND MARICHAL Distribution of Available Cash Liabilities Liquidation expenses Next Next 96 First 96 96 All remaining cash 96 96 %6 The Drysdale, Koufax, and Marichal partnership has the following balance sheet immediately prior to liquidation: Cash Noncash assets $ 37,90 299, eae Liabilities Drysdale, loan Drysdale, capital (50%) Koufax, capital (30%) Marichal, capital (20%) $ 49,00 12,500 71,500 61,500 51, see 1-1. Determine the maximum loss that can be absorbed in Step 1. Then, assuming that this loss has been incurred. determine the next maximum loss that can be absorbed in Step 2. .-2. Liquidation expenses are estimated to be $16.000. Prepare a predistribution schedule to guide the distribution of cash. Further, modify the tags in explanation as well. b. Assume that assets costing $75.000 are sold for $60.500. How is the available cash to be divided? Complete this question by entering your answers in the tabs below. Req A1 Reg A2 ReqB Assume that assets costing $75,000 are sold for $60,500. How is the available cash to be divided? Cash available for distribution: Beginning cash balance Sale of noncash assets Subtotal Payment of liabilities Payment of estimated liquidation expenses Cash available for distribution S 0 S 0 Cash distribution to partners: Drysdale First Koufax Marichal Total Next Next Total S 0 S 0 S 0 S 0
