The Pen, Evan, and Torves Partnership has asked you to assist in winding-up its business affairs. You compile the following information:

1. The partnerships trial balance on June 30, 20X1, is

	Debit				Credit
Cash		$	6,500
Accounts Receivable (net)			25,000
Inventory			19,000
Plant and Equipment (net)			99,400
Accounts Payable						$	10,500
Pen, Capital							60,000
Evan, Capital							50,400
Torves, Capital							29,000
Total		$	149,900			$	149,900

2. The partners share profits and losses as follows: Pen, 50 percent; Evan, 30 percent; and Torves, 20 percent.
3. The partners are considering an offer of $105,000 for the firms accounts receivable, inventory, and plant and equipment as of June 30. The $105,000 will be paid to creditors and the partners in installments, the number and amounts of which are to be negotiated.

5 The Pen, Evan, and Torves Partnership has asked you to assist in winding-up its business affairs. You compile the following Information: 1. The partnership's trial balance on June 30, 20X1. Is -5 oints Credit Debit $ 6,5ee 25,eee 19.cee 99,400 eBook Cash Accounts Receivable (net) Inventory Plant and Equipment (net) Accounts Payable Pen, Capital Evan, Capital Torves, Capital Total $ 19,5ee 60.eee 50,400 29. eee $149,900 Ask $149,900 Print 2. The partners share profits and losses as follows: Pen, 50 percent Evan, 30 percent, and Torves. 20 percent. 3. The partners are considering an offer of $105,000 for the firm's accounts receivable, Inventory, and plant and equipment as of June 30. The $105,000 will be paid to creditors and the partners in Installments, the number and amounts of which are to be negotiated. References Required: Prepare a cash distribution plan as of June 30, 20X1. showing how much cash each partner will receive of the partners accept the offer to sell the assets. PET PARTNERSHIP Cash Distribution Plan June 30, 20X1 Loss Absorption Potential Pen Evan Torves Capital Accounts Pen Evan Torves 2:1 Profit and loss percentages Preliquidation capital balances Loss absorption potential capital balances / loss percent) Decrease highest LAP to next highest: Decrease LAPs to next highest HUU 99,400 Plant and Equipment (net) Accounts Payable Pen, Capital Evan, Capital Torves, Capital Total $ 19,5ee 60.ece 50,400 29, eee $149,9ee $149,900 2. The partners share profits and losses as follows: Pen, 50 percent Evan, 30 percent, and Torves, 20 percent. 3. The partners are considering an offer of $105,000 for the firm's accounts recevable, Inventory, and plant and equipment as of June 30. The $105,000 will be paid to creditors and the partners in installments, the number and amounts of which are to be negotiated. Required: Prepare a cash distribution plan as of June 30, 20X1. showing how much cash each partner will receive if the partners accept the offer to sell the assets. PET PARTNERSHIP Cash Distribution Plan June 30, 20X1 Loss Absorption Potential Pen Evan Torves Pen Capital Accounts Evan 1 1 Torves Profit and loss percentages Preliquidation capital balances Loss absorption potential capital balances / loss percent) Decrease highest LAP to next highest: Decrease LAPs to next highest