The partners of the Mills, Ted and Oliver partnership share profits and losses in the ratio of 6:3:1, respectively. The partners have decided to liquidate and terminate the partnership. Prior to liquidation, the partnership balance sheet was as follows: Cash $ 20,000 Liabilities $120,000 Inventory 100,000 Mills, capital 60,000 Fixed assets - net 160,000 Ted, capital 80,000 Oliver, capital 20,000 Total assets $280,000 Total equity $280,000 Required: Prepare a schedule of liquidation, given that the partnership sold the inventory for $40,000 and the fixed assets for $120,000