Question

Allen Lie, Beverely Cheat and Hugo Steal have been partners in the very successful law firm of
Lie, Cheat and Steal for many years, however; they have decided to end their law practice
The balance sheet of Lie Cheat and Steal on January 2nd 2017 when they decided to end their law practice is as follows:
Steal is a 50% partner; Lie is a 30% partner and Cheat is a 20% partner.
		Balance Sheet
		Lie, Cheat and Steal
		January 2nd 2017
	Cash			$       20,000.00
	Accounts receivable			$       80,000.00
	Building (net)			$    300,000.00
	Land			$    500,000.00
	Accounts payable			$    400,000.00
	A. Lie capital			$       10,000.00
	B. Cheat			$    100,000.00
	H. Steal			$    390,000.00
Question 1: On January 2nd How much (if any) can each partner take as a safe payment?
	On January 22nd, the law firm sold all of their receivables to The Shark Law Firm for $50,000.
Question 2:   Assuming no one took any safe payments on January 2nd; how much can each partner take as a safe payment on January 23rd?
	On February 2nd Ground Hog Day; the law firm sold the land to The Squirrel Company for $505,000.
Question 3:	Assuming no one previously took any safe payments, how much can each partner take as a safe payment on February 3rd?
	On February 14th Valentines day, the law firm sold the building to Cupid Company for $ 222,000 and paid off the accounts payable.
Question 4:	Assuming no one previously took any safe payments, and any partner with a negative balance in their capital cannot cover their shortage
	how much does each partner get in the final partner distribution?
Question 5:	Assuming no one previously took any safe payments, and any partner with a negative balance in their capital CAN cover the shortage
	how much does each partner contribute or receive in the final partner distribution?

Answer 1