The partnership of Frick, Wilson, and Clarke has elected to cease all operations and liquidate its business property. A balance sheet drawn up at this time shows the following account balances:

Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	$ 60,000
Noncash assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	219,000
Total assets? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	$ 279,000
Liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	$ 40,000
Frick, capital (60%) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	129,000
Wilson, capital (20%)? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	35,000
Clarke, capital (20%) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	75,000
Total liabilities and capital? . . . . . . . . . . . . . . . . . . . . . . . . . . .	$ 279,000

Part A

Prepare a predistribution plan for this partnership

Part B

The following transactions occur in liquidating this business:

1.Distributed cash based on safe capital balances immediately to the partners. Liquidation expenses of $8,000 are estimated as a basis for this computation.

2.Sold noncash assets with a book value of $94,000 for $60,000.

3.Paid all liabilities.

4.Distributed cash based on safe capital balances again.

5.Sold remaining noncash assets for $51,000.

6.Paid actual liquidation expenses of $6,000 only.

7.Distributed remaining cash to the partners and closed the financial records of the business permanently.

Produce a final statement of liquidation for this partnership using the predistribution plan to determine payments of cash to partners based on safe capital balances.

Part C

Prepare journal entries to record the liquidation transactions reflected in the final statement of liquidation.