Ch 15 LS
Angela, Barb, and Chris have decided
the first $20,000 should be paid to Chris
During a partnership liquidation, credits
gains on sales of partnership assets
Distributing cash to partners over time
liquidation made in installments
The parties most interested in the financial information
partners and creditors
Liquidation expenses are allocated to
partners' relative profit and loss ratios
The doc prepared by accountants at the start of a liquid
predistribution plan
Gains and losses incurred from the sale of assets
recorded directly
After liquidating all partnership assets and paying
reduce each partner's capital
The amount that can be distributed ... to as a ___ payment.
safe
When making distributions of cash to partners ... maintain a ___
safe
When a partner has a negative balance (deficit)
the partner to make a capital contribution
Gains and losses on the sale of assets
to keep track
A proposed sch of liquidation __ __
total losses
The partner with the smallest
who is least likely to receive
Partners A, B, and C share
80%
A predistribution plan indicates
-the amount -the order
Two partners (a & b) have equal balances in their capital
60%
A preliminary distribution of cash ... personally ___.
insolvent
Only those partners w/a capital balance that is large enough ... future ___ will
losses
During a partnership liquidation, debits
losses on sales of partnership assets
A partnership's accountant determines that Partner A has a "maximum
not receive
One reason why partners
-partners -the partnership is not successful enough
The amount of cash that can be safely
-partners are personally -no cash
Two partners (x & y) have equal balances in their capital accounts
45%
A statement of partnership liquidation discloses
liquidation transaction already carried out
In preparing a proposed sch of liquidation, the accountant
maximum
The procedures involved in terminating
selling partnership
In preparing a proposed schedule of liquidation,
the results of transactions
A statement of partneship liquidation discloses
-partnership -current -assets
The procedures involved in terminating
-using cash from -using cash from
Preparation of a proposed schedule
not make any cash contribution
A single plan drawn up at the beginning of a liquidation ... a __ plan.
predistribution
Preparation of a proposed schedule of liquidation
cannot be sold for cash
Partners' relative profit & loss are used
-gains on sales -liquidation
A statement of partnership liquidation
-individual partners' capital accounts -partnership cash -partnership liabilities
In addition to accounting for the transaction that transpire
-might be asked -should work
A partnership has four partners, two of whom have negative
all of the other
Dividing a partner's capital balance by their profit and loss ___
maximum
In preparing a proposed schedule of liquidation,
based on their relative profit loss ratios
When other partners are unable to recover any part of an insolvent
debited for each partner's share of deficit
The procedures involved in terminating and liquidating a partnership include
distributing partnership
