The RiMiA decided to end their partnership business on September 30, 2018. On this date, their capital balances (before income allocation) and income and loss ratio were: Rino (40%) USD50,000; Mia (30%) USD60,000; and Ana (30%) USD20,000. From January 1 to September 30, 2018, the net income was USD44,000. Furthermore, cash and liabilities are USD40,000 and USD90,000, respectively, as of this date. Compute the amount that must be realized from the sale of the firm's non-cash assets for Rino to receive USD55,200 in full settlement of his interest in the firm?

SWFT Comprehensive Vol 2020
43rd Edition
ISBN:9780357391723
Author:Maloney
Publisher:Maloney
Chapter4: Gross Income: Concepts And Inclusions
Section: Chapter Questions
Problem 12DQ
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The RiMiA decided to end their partnership business on September 30, 2018. On this date, their capital balances (before income allocation) and income and loss ratio were:
Rino (40%) USD50,000; Mia (30%) USD60,000; and Ana (30%) USD20,000.
From January 1 to September 30, 2018, the net income was USD44,000. Furthermore, cash and liabilities are USD40,000 and USD90,000, respectively, as of this date. Compute the amount that must be realized from the sale of the firm's non-cash assets for Rino to receive USD55,200 in full settlement of his interest in the firm?

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