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The following is the financial statement for Sarsar partnership. The profit/loss percentages for partners Same, Sameer, and Rana are 60%, 30%, and 10%, respectively, on

The following is the financial statement for Sarsar partnership. The profit/loss percentages for partners Same, Sameer, and Rana are 60%, 30%, and 10%, respectively, on 31/12/2020:

Assets

31/12/2020

L&CAPITALS

31/12/2020

Cash

70,000

account payable

250,000

account /rec.

90000

long term debit

550,000

Debit to Same

50,000

Inventories

440,000

Same capital

600,000

plant assets

1040,000

Huda capital

300,000

intangible assets

210,000

Rana capital

100,000

The partners agree to admit salem for 15% interest of the partnership for 150,000 cash and recorded the admission on good will method and every old partner gave up 5% of his percentage.

After the admission the partners are differed between them and decided to solve the partnership. The agree to keep out 20,000$ for dissolving partnership expenses.

On January 31/2021 they sold all the account receivables for 60,000,

March 31/2021 sold all inventories for 320,000

April 30/2021sold 520,000$ of the planet assets for 400,000.

Required:

  1. Prepare the entry to recorded salem admission
  2. Prepare vulnerability ranking, losses absorption and cash distribution plane
  3. Prepare cash distribution schedule
  4. Distributed the available cash between according to the distribution schedule in 1/1/2021, 31/01/2021,31/03/2021,30/04/2021
  5. Prepare statement of realization and liquidations with necessary entries assuming all other assets sold for 360,000 at 31/05/2021.

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