The partnership of Duro, Kemp and Roth is to be liquidated as soon as possible after December 31, 2016. All cash on hand except for a $20,000 contingency balance is to be distributed at the end of each month until the liquidation is completed. Profits and losses are shared 50%, 30% and 20% by Duro, Kemp and Roth, respectively. The partnership balance sheet at December 31, 2006 contains the following.

Assets Liabilities and Capital

Cash 240,000 Accounts payable 300,000

Accounts receivable 280,000 Note payable 200,000

Loan to Roth 40,000 Loan from Kemp 20,000

Inventories 400,000 Duro Capital (50%) 340,000

Land 100,000 Kemp Capital (30%) 340,000

Equipment net 300,000 Roth Capital (20%) 200,000

Goodwill 40,000

A summary of liquidation events is as follows

January 2017

Goodwill is written off, $200,000 is collected on account, inventory items that cost $160,000 are sold for $200,000. The accounts payable and notes payable are paid and cash is distributed.

February 2017

Equipment with a book value of $80,000 is sold for $60,000, the remaining inventory items are sold for $180,000, liquidation expenses of $4,000 are paid, a liability of $8,000 is discovered and cash is distributed.

March 2017

The land is sold for $150,000, liquidation expenses of $5,000 are paid and cash is distributed.

April 2017

The remaining equipment is sold for $150,000, remaining receivables are wWritten off and all cash is distributed in final liquidation

REQUIRED: Prepare a statement of liquidation including safe payment schedules as required.