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March, April, and May have been in partnership for a number of years. The partners allocate all profits and losses on a 4:2:2 basis, respectively. Recently, each partner has become personally insolvent and, thus, the partners have decided to liquidate the business in hopes of remedying their personal financial problems. As of September 1, the partnerships balance sheet is as follows:

Cash	$	29,000	Liabilities	$	108,000
Accounts receivable		120,000	March, capital		62,000
Inventory		110,000	April, capital		93,000
Land, building, and equipment (net)		68,000	May, capital		64,000
Total assets	$	327,000	Total liabilities and capital	$	327,000

Prepare journal entries for the following transactions: (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

1. Sold all inventory for $74,000 cash.
2. Paid $12,900 in liquidation expenses.
3. Paid $58,000 of the partnerships liabilities.
4. Collected $69,000 of the accounts receivable.
5. Distributed safe payments of cash; the partners anticipate no further liquidation expenses.
6. Sold remaining accounts receivable for 20 percent of face value.
7. Sold land, building, and equipment for $35,000.
8. Paid all remaining liabilities of the partnership.
9. Distributed cash held by the business to the partners.

March, April, and May have been in partnership for a number of years. The partners allocate all profits and losses on a 4:2:2 basis, respectively. Recently, each partner has become personally insolvent and, thus, the partners have decided to liquidate the business in hopes of remedying their personal financial problems. As of September 1, the partnerships balance sheet is as follows: Cash Accounts receivable Inventory Land, building, and equipment (net) Total assets $ 29,000 120,000 110,000 68,000 $ 327,000 Liabilities March, capital April, capital May, capital Total liabilities and capital $ 108,000 62,000 93,000 64,000 $ 327,000 Prepare journal entries for the following transactions: (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) a. Sold all inventory for $74,000 cash. b. Paid $12,900 in liquidation expenses. C. Paid $58,000 of the partnerships liabilities. d. Collected $69,000 of the accounts receivable. e. Distributed safe payments of cash; the partners anticipate no further liquidation expenses. f. Sold remaining accounts receivable for 20 percent of face value. g. Sold land, building, and equipment for $35,000. h. Paid all remaining liabilities of the partnership. i. Distributed cash held by the business to the partners. 3 Record the settlement of liabilities. 4 Record the cash received from accounts receivables. Record the distribution of safe cash to partners. 6 Record the cash received from balance accounts receivables. Record the distribution of cash received from sale proceeds of land, building and equipments. 8 Record the settlement of balance liabilities. 9 Record the distribution of cash in hand to partners. Mate jaunanthabaan antarad No Transaction General Journal Debit Credit 1 a. Cash 74,000 18,000 9,000 March, Capital April, Capital May, Capital Inventory 9,000 110,000 2 b. March, Capital April, Capital May, Capital Cash 6,450 3,225 3,225 12,900 c. Liabilities 58,000 Cash 58,000 4 d. Cash 69,000 Accounts receivable 69,000 5 e. April, Capital May, Capital Cash 6 f. Cash March, Capital April, Capital May, Capital Accounts receivable Accounts receivable 7 g. Cash March, Capital April, Capital May, Capital Land, building and equipment 8 h. Liabilities 50,000 Cash 50,000 9 March, Capital April, Capital May, Capital Cash

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