Part A(5 points each for a possible total of 10 points)1. After several years of business, Abel, Barney, and Cole are liquidating. Thefollowing are post-closing account balances.Cash 18,000Inventory 73,000Other assets 157,000Accounts Payable 61,000Abel, Capital 50,000Barney, Capital 50,000Cole, Capital 87,000Noncash assets are sold for $275,000. Profits and losses are sharedequally.After all liabilities are paid, divide the remaining cash amongst thepartners.2. The partnership of Brandon and Ryan is being liquidated. All gains andlosses are shared in a 3:1 ratio, respectively. Before liquidation, theirbalance sheet balances are as follows:Cash $10,000Other Assets 8,000Liabilities 4,000Brandon, Capital 7,000Ryan, Capital 7,000a. If the Other Assets are sold for $10,000, how much will each partnerreceive before paying liabilities and distributing the remainingassets?b. If the Other Assets are sold for $8,000, how much will each partnerreceive before paying liabilities and distributing remaining assets?
RECOMMENDED!!After several years of business, Abel, Barney,
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