Question

After closing the accounts on July 1, prior to liquidating the An unincorporated business form consisting of two or more persons conducting business as co-owners for profit.partnership, the capital account balances of Gold, Porter, and Sims are $31,800, $45,300, and $20,100, respectively. Cash, noncash assets, and liabilities total $49,800, $83,700, and $36,300, respectively. Between July 1 and July 29, the noncash assets are sold for $66,900, the liabilities are paid, and the remaining cash is distributed to the partners. The partners share net income and loss in the ratio of 3:2:1.

Prepare a statement of partnership The winding-up process when a partnership goes out of business.liquidation for the period July 1-29. Enter any subtractions (balance deficiencies, payments, cash distributions, divisions of loss, sale of assets) as negative numbers using a minus sign. If an amount is zero, enter in "0".

Gold, Porter, and Sims
Statement of Partnership Liquidation
For the Period Ending July 1-29
	Cash +	Noncash Assets =	Liabilities +	Capital Gold (3/6) +	Capital Porter (2/6) +	Capital Sims (1/6)
Balances before realization	$	$	$	$	$	$
Sale of assets and division of loss	+
Balances after realization	$	$	$	$	$	$
Payment of liabilities
Balances after payment of liabilities	$	$	$	$	$	$
Cash distributed to partners
Final balances	$	$	$	$	$	$

Answer 1

Gold, Porter, and Sims
Statement of Partnership Liquidation
For the Period Ending July 1-29
	Cash +	Noncash Assets =	Liabilities +	Capital Gold (3/6) +	Capital Porter (2/6) +	Capital Sims (1/6)
Balances before realization	$ 49,800.00	$ 83,700.00	$ 36,300.00	$ 31,800.00	$ 45,300.00	$ 20,100.00
Sale of assets and division of loss	$ 66,900.00	­-$83,700.00		- $ 8,400.00	- $5,600.00	- $2,800.00
Balances after realization	$ 116,700.00	$             -	$ 36,300.00	$ 23,400.00	$ 39,700.00	$ 17,300.00
Payment of liabilities	-$36,300.00		-$36,300.00
Balances after payment of liabilities	$ 80,400.00	$          0.00	$          0.00	$ 23,400.00	$ 39,700.00	$ 17,300.00
Cash distributed to partners	- $80,400.00			- $ 23,400.00	- $39,700.00	-$17,300.00
Final balances	$          0.00	$          0.00	$          0.00	$          0.00	$          0.00	$          0.00

Distribution of Loss
Book value of Non cash assets		$    83,700.00
Cash received on sale		$    66,900.00
Loss on sale		$    16,800.00
Distribution of loss
Gold	(16800/6x3)	$      8,400.00
Porter	(16800/6x2)	$      5,600.00
Sims	(16800/6x1)	$      2,800.00