The partnership of Butler, Osman, and Ward was formed several years as a local tax preparation firm. Two partners have reached retirement age and the partners have decided to terminate operations and liquidate the business. Liquidation expenses of $39,000 are expected. The partnership balance sheet at the start of liquidation is as follows: Cash Accounts receivable 3. $175,000 35,000 75,000 35,000 95,000 $415,000 35,000 Liabilities 65,000 Butler, loan Office equipment (net) 55,000 Butler, capital (25%) Building (net) Land Total assets Prepare a predistribution plan for this partnership. 135,000 Osman, capital (25%) 125,000 ward, capital (50%) $415,000 Total liabilities and capital man and Capia Capital Capital Beginning balances Loss Step one balances Loss Step two balances The following transactions transpire in chronological order during the liquidation of the partnership. Prepare journal entries to record these liquidation transactions: 4. Collected 90 percent of the accounts receivable and wrote the remainder a. off as uncollectible b. Sold the office equipment for $22,500, the building for $98,000, and the land for $140,000 c. Made safe capital distributions. d. Paid all liabilities in full e. Paid actual liquidation expenses of $32,500 only f. Made final cash distributions to the partners