The following balance sheet is for a partnership in which the partners have decided to terminate operations and liquidate assets. The partners estimate liquidation expenses will be $15,000.

Cash	$	140,000		Liabilities	$	70,000
Noncash assets		280,000		Arch, capital (40%)		130,000
				Bibb, capital (20%)		65,000
				Dao, capital (40%)		155,000
Total assets	$	420,000		Total liabilities and capital	$	420,000

Prepare a proposed schedule of liquidation to carry out a preliminary distribution of partnership assets at the date of termination. (Amounts to be deducted should be entered with a minus sign.)

ARCH, BIBB, AND DAO PARTNERSHIP Proposed Schedule of Liquidation Date of Termination Noncash Arch, Capital Cash Assets Liabilities 40% Bibb, Capital 20% Dao, Capital 40% Beginning balances Pay liabilities Max. liquidation expenses Max. loss - noncash assets Initial safe payments