WorksheetsLiquidation of Partnership
Total questions: 7
Worksheet time: 6mins
Which is NOT a method of dissolution of a partnership ?
simple liquidation method
safe payment method
distribution of cash method
reorganization - modification terms method
The Partner's balance sheet consists of:
Cash = $ 20,000
Other Asset = $ 80,000
Liabilities = $ 40,000
Partner Capital A = $ 20,000
Partner B Capital = $ 40,000
If other assets sell for $ 50,000. Which statement is correct?
Loss over sale of assets is $ 20,000
Partner A carries a loss of $ 20,000
Partner B carries a loss of $ 10,000
None of these
The Partner's financial position consists of:
Cash = $ 20,000
Other Asset = $ 80,000
Liabilities = $ 40,000
Partner Capital A = $ 20,000
Partner B Capital = $ 40,000
If other assets sell for $ 50,000. Which statement is incorrect?
Cash balance up to $ 30,000
Capital balance of partner A becomes $ 10,000
Capital balance of partner B becomes $ 20,000
The value of other assets potential loss is 30,000
Partner A Capital = $ 40,000
Partner B Capital = $ 52,000
Partner C capital = $ 28,000
Other potential asset allocation is $ 90,000, with a ratio of 5: 3: 2.
If there is $ 35,000 to pay to partners, which statement is incorrect?
Partner A does not get paid any money
Partner B gets a cash payment of $ 25,000
Partner C gets a cash payment of $ 10,000
None of these
Informastion:
Partner Capital A = $ 40,000 Partner B Capital = $ 25,000 Partner C capital = $ 15,000 Other potential asset allocation is $ 70,000, with a ratio of 4: 4: 2.
If payment to partner as much as $ 10,000 , which statement is correct?
Partner B has a capital deficit of $ 2,500
Partner A carries capital deficit of Partner C of $ 3,000
Partner A gets a total of cash $ 10,000
Partner A and Partner B receive a share of the money of $ 6,600 and $ 3,400, respectively
1. Paying debts
2. Selling assets
3. Distibute money that is still available as payment to capital's partner
The correct order of priority at liquidation of partnership is :
2 - 1 - 3
1 - 2 - 3
3 - 2 - 1
3 - 1 - 2
The first step in the liquidation process is to:
Convert noncash assets into cash
Pay partnership creditors.
Compute any net income (loss) up to the date of dissolution
Allocate any gains or losses to the partners.
