The following balance sheet is for a local partnership in which the partners have become very unhappy with each other. Cash $ 63,000 Liabilities $ 53,000 Land 245,000 Adams, capital 161,500 Building 235,000 Baker, capital 51,000 Carvil, capital 106,000 Dobbs, capital 171,500 Total assets $543,000 Total liabilities and capital $543,000 To avoid more conflict, the partners have decided to cease operations and sell all assets. Using this information, answer the following questions. Each question should be viewed as an independent situation related to the partnerships liquidation.

a. The $10,000 cash that exceeds the partnership liabilities is to be disbursed immediately. If profits and losses are allocated to Adams, Baker, Carvil, and Dobbs on a 2:3:3:2 basis, respectively, how will the $10,000 be divided? Answer is complete but not entirely correct 2,000X Adams 3,000X Baker 3,000X Carvil 2,000X Dobbs b. The $10,000 cash that exceeds the partnership liabilities is to be disbursed immediately. If profits and losses are allocated on a 2:2:3:3 basis, respectively, how will the $10,000 be divided? Answer is complete but not entirely correct 2,000X Adams 2,000X Baker 3,000X Carvil 3,000X Dobbs