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

Cash$ 56,000Liabilities$ 57,500Noncash assets304,000Drysdale, loan32,500 Drysdale, capital (50%)100,000 Koufax, capital (30%)90,000 Marichal, capital (20%)80,000Total assets$ 360,000Total liabilities and capital$ 360,000

Required:

1. a-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. a-2. Liquidation expenses are estimated to be $16,000. Prepare a predistribution schedule to guide the distribution of cash.
3. b. Assume that assets costing $94,000 are sold for $70,000. How is the available cash to be divided?

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 . Assume that assets costing \\( \\$ 94,000 \\) are sold for \\( \\$ 70,000 \\). How is the available cash to be divided? Liquidation expenses are estimated to be \\( \\$ 16,000 \\). Prepare a predistribution schedule to guide the distribution of cash