Harry, Tony, and Liza run a partnership firm and share in the profits 1:3:2, respectively. In the process of liquidation, the partnership sells non-cash assets, having a book value of $83,000, for $81,000. What would be the journal entry for distribution to partners for the loss on the sale of the non-cash assets?

SWFT Corp Partner Estates Trusts
42nd Edition
ISBN:9780357161548
Author:Raabe
Publisher:Raabe
Chapter11: Partnerships: Distributions, Transfer Of Interests, And Terminations
Section: Chapter Questions
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Harry, Tony, and Liza run a partnership firm and share in the profits 1:3:2, respectively. In the process of liquidation, the partnership sells non-cash assets, having a book value of $83,000, for $81,000. What would be the
journal entry for distribution to partners for the loss on the sale of the non-cash assets?
81,000
3,000
O Cash
Gain on Disposal
Non-cash Assets
Loss on Disposal
O Loss on Disposal
Harry, Capital
Tony, Capital
Liza, Capital
O Harry, Capital
Tony, Capital
Liza, Capital
Loss on Disposal
O Cash
Loss on Disposal
Non-cash Assets
2,000
333
1,000
667
81,000
2,000
83,000
1,000
333
1,000
667
2,000
83,000
Transcribed Image Text:Harry, Tony, and Liza run a partnership firm and share in the profits 1:3:2, respectively. In the process of liquidation, the partnership sells non-cash assets, having a book value of $83,000, for $81,000. What would be the journal entry for distribution to partners for the loss on the sale of the non-cash assets? 81,000 3,000 O Cash Gain on Disposal Non-cash Assets Loss on Disposal O Loss on Disposal Harry, Capital Tony, Capital Liza, Capital O Harry, Capital Tony, Capital Liza, Capital Loss on Disposal O Cash Loss on Disposal Non-cash Assets 2,000 333 1,000 667 81,000 2,000 83,000 1,000 333 1,000 667 2,000 83,000
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