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Partners Able, Baker, and Chapman Have the Following Personal Assets

Question 23

Multiple Choice

Partners Able, Baker, and Chapman have the following personal assets, personal liabilities, and partnership capital balances: Partners Able, Baker, and Chapman have the following personal assets, personal liabilities, and partnership capital balances:   Assume profits and losses are allocated equally. After applying the doctrine of marshaling of assets, the capital balances for Able, Baker, and Chapman, respectively, would be A)  $50,000, $(2,000) , and $58,000. B)  $48,000, 0, and $58,000. C)  $49,000, 0, and $57,000. D)  $34,000, 0, and $54,000. Assume profits and losses are allocated equally.
After applying the doctrine of marshaling of assets, the capital balances for Able, Baker, and Chapman, respectively, would be


A) $50,000, $(2,000) , and $58,000.
B) $48,000, 0, and $58,000.
C) $49,000, 0, and $57,000.
D) $34,000, 0, and $54,000.

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