Partners A,B and C decided to liquidate their business on January 31, 2021 and showed the following financial position: ASSETS LIABILITIES & STOCKHOLDER'S EQUITY Cash28,000 Accounts Payable14,400Non-Cash Assets36,000 Loan Payable to A4,000 A, Capital8,000 B, Capital16,000 C, Capital21,600Totals64,000 Totals64,000 It was also agreed that cash distribution be made at the end of each monthprovided there was sufficient cash for this purpose. Profit and loss ratio was 2:1:2 respectively. The liquidation transactions for the months of February, March and April wereas Follows: Cash ProceedsBV of Assets SoldLiabilities paidLiquidation ExpenseRestricted Cash for future expensesFebruary8,00012,00012,0002,4001,600March12,80016,0002,4001,600800April6,4008,000 800 Note: The statement of liquidation is supported by schedule of safe payments.Required: Prepare a liquidation Table and schedule of safe payments Please help me. I need solutions with explanations. This is due tomorrow :((

Given in the question: Non Cash assets are sold during different months Computation of Loss on sale…

Answered: Prepare a liquidation Table and…

SWFT Individual Income Taxes

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Author:YOUNG

Publisher:YOUNG

Chapter20: Corporations And Parterships

Section: Chapter Questions

Problem 40P

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Partners A,B and C decided to liquidate their business on January 31, 2021 and showed the following financial position: ASSETS LIABILITIES & STOCKHOLDER'S EQUITY Cash 28,000 Accounts Payable 14,400 Non-Cash Assets 36,000 Loan Payable to A 4,000 A, Capital 8,000 B, Capital 16,000 C, Capital 21,600 Totals 64,000 Totals 64,000 It was also agreed that cash distribution be made at the end of each month provided there was sufficient cash for this purpose. Profit and loss ratio was 2:1:2 respectively. The liquidation transactions for the months of February, March and April were as Follows: Cash Proceeds BV of Assets Sold Liabilities paid Liquidation Expense Restricted Cash for future expenses February 8,000 12,000 12,000 2,400 1,600 March 12,800 16,000…

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Partners A,B and C decided to liquidate their business on January 31, 2021 and showed the
following financial position:

ASSETS			LIABILITIES & STOCKHOLDER'S EQUITY

Cash	28,000			Accounts Payable	14,400
Non-Cash Assets	36,000			Loan Payable to A	4,000
				A, Capital	8,000
				B, Capital	16,000
				C, Capital	21,600
Totals	64,000			Totals	64,000

It was also agreed that cash distribution be made at the end of each month
provided there was sufficient cash for this purpose.
Profit and loss ratio was 2:1:2 respectively.

The liquidation transactions for the months of February, March and April were
as Follows:
	Cash Proceeds	BV of Assets Sold	Liabilities paid	Liquidation Expense	Restricted Cash for future expenses
February	8,000	12,000	12,000	2,400	1,600
March	12,800	16,000	2,400	1,600	800
April	6,400	8,000		800

Note: The statement of liquidation is supported by schedule of safe payments.
Required: Prepare a liquidation Table and schedule of safe payments