The following balances were taken from the book of JACK Partnership as of July 1, 2015 when the partnership decided to liquidate:

Accounts Receivable, net P50,000

Furniture & Fixtures, net. P200,000

Equipment, net. P250,000

Accounts Payable. P100,000

Notes Payable. P75,000

Jose, Capital. P60,000

Adrian, Capital P80,000

Connie, Capital. P90,000

Kelly, Capital P95,000

Profit and loss ratio is 2:2:1:1, respectively. Cash is distributed to partners as it becomes available. The liquidation process took three months to finish:

Sales. Assets

Proceeds. sold

July. P44,000. Accounts

Receivable

August. P150,000. Furniture &

Fixtures

September P200,000. Equipment

Liquidation. Liabilities

Cost paid. Paid

July. P1,500. Note to PNB,

P40,000

August. P2,500. Note to supplier,

P35,000

September P4,000. Accounts Payable,

P100,000

Cash receive for

Liquidation costs

July. P2,500

August. P5,000

September. -

Hint: Give the Statement Of Liquidation and Schedule of Cash Distribution.