The trial balance for the MAD Partnership is as follows just before declaring bankruptcy.

Partners share profits in the ratio 45:30:25.

Required:

1. Prepare a schedule to show how available cash would be distributed to the partners after creditors are paid in full. State which partner would receive the first cash available and at what point and to what degree each of the remaining partners would participate in cash distributions.
2. Cash of $30,000 is available to partners after the creditors have been paid in full. Prepare the general journal entry to record the distribution of $30,000.