Partnerships A, B, and C are liquidated and the partnership books show the following balance sheet: Cash $ 50,000 Accounts Payable $ 45,000 Inventory $ 70,000 Capital A $ 25,000 Capital B $ 30,000 Сapital C $ 20,000 Total Assets $120,000 Total Liabilities $120,000 The ratio is as follows A 45%, B 30%, C 25%. If the available cash is distributed immediately, how much does each partner earn?
Partnerships A, B, and C are liquidated and the partnership books show the following balance sheet: Cash $ 50,000 Accounts Payable $ 45,000 Inventory $ 70,000 Capital A $ 25,000 Capital B $ 30,000 Сapital C $ 20,000 Total Assets $120,000 Total Liabilities $120,000 The ratio is as follows A 45%, B 30%, C 25%. If the available cash is distributed immediately, how much does each partner earn?
Chapter15: Partnership Accounting
Section: Chapter Questions
Problem 1PB: The partnership of Magda and Sue shares profits and losses in a 50:50 ratio after Mary receives a...
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Transcribed Image Text:Partnerships A, B, and C are liquidated and the partnership books show the following balance
sheet:
Cash
$ 50,000
Accounts Payable
$ 45,000
Inventory
$ 70,000
Capital A
$ 25,000
Capital B
$ 30,000
Сapital C
$ 20,000
Total Assets
$120,000
Total Liabilities
$120,000
The ratio is as follows A 45%, B 30%, C 25%. If the available cash is distributed immediately, how
much does each partner earn?
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