A Base and Zad are sharing income and loss in a 4:3:2 ratio respectively and decided to liquidate their partnership. Prior to the final distribution of cash to the partners All has a capital balance of $(10,000), Basel has a capital balance of $24,000, and Ziad has a capital balance of $36,000. Also, cash balance is $50,000. All is NOT able to pay the amount he owes the partnership ?Which of the following two journal entries are right to record this liquidation case 6,000 4,000 Basel Capital A O Zlad Capital 10,000 All Capital 18,000 Basel capital 32,000 Ziad capital Cash 50,000 4,000 Basel Capital B O Ziad Capital 6,000 10,000 All Capital 18,000 Basel capital 32,000 Ziad capital 50,000 Cash Basel Capital CO Ziad Capital All Capital Basel capital Ziad capital Cash Basel Capital .D O Ziad Capital Ali Capital Basel capital Ziad capital Cash 50,000 10,000 50,000 10,000 50,000 6,000 4,000 32,000 18,000 5,000 5,000 19,000 31,000
A Base and Zad are sharing income and loss in a 4:3:2 ratio respectively and decided to liquidate their partnership. Prior to the final distribution of cash to the partners All has a capital balance of $(10,000), Basel has a capital balance of $24,000, and Ziad has a capital balance of $36,000. Also, cash balance is $50,000. All is NOT able to pay the amount he owes the partnership ?Which of the following two journal entries are right to record this liquidation case 6,000 4,000 Basel Capital A O Zlad Capital 10,000 All Capital 18,000 Basel capital 32,000 Ziad capital Cash 50,000 4,000 Basel Capital B O Ziad Capital 6,000 10,000 All Capital 18,000 Basel capital 32,000 Ziad capital 50,000 Cash Basel Capital CO Ziad Capital All Capital Basel capital Ziad capital Cash Basel Capital .D O Ziad Capital Ali Capital Basel capital Ziad capital Cash 50,000 10,000 50,000 10,000 50,000 6,000 4,000 32,000 18,000 5,000 5,000 19,000 31,000
Chapter21: Partnerships
Section: Chapter Questions
Problem 65P
Related questions
Question
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you