The Partnership of Mick, Keith, and Charlie Has Been Dissolved

The partnership of Mick, Keith, and Charlie has been dissolved and is in the process of liquidation.On July 1, 2014, just before the second cash distribution, the assets and equities of the partnership along with residual profit sharing ratios were as follows: $$\begin{array} { l r l r } { \underline { \text { Assets } } } &&{ \text { Liabilities \& Equities } } \\\text { Cash } & \$ 200,000 & \text { Liabilities } & 150,000 \\\text { Receivables-net } & 50,000 & \text { Mick, Capital 50\% } & 100,000 \\\text { Inventories } & 150,000 & \text { Keith, Capital 30\% } & 175,000 \\\text { Equipment-net } & 100,000 & \text { Charlie, Capital 20\% } & 75,000 \\{ \text { Total assets } } & \underline { \$ 500,000 } & \text { Total Lia \& Equity } & 500,000 \\\hline \hline\end{array}$$ Assume that Mick takes equipment with a fair value of $40,000 and a book value of $50,000 in partial satisfaction of his equity in the partnership.If all the $200,000 cash is then distributed, the partners should receive: $\begin{array}{rrrr}&\quad\text { Mick}&\quad\text { Keith }&\quad\text {Charlie }\end{array}$
A) $\begin{array}{rrrr} & \$ 100,000 & \$ 60,000 & \$ 40,000 \\\end{array}$
B) $\begin{array}{rrrr} & 25,000 \quad& 15,000 \quad& 10,000 \\\end{array}$
C) $\begin{array}{rrrr}& -0 &\quad\quad\quad 45,000 &\quad 5,000 \\\end{array}$
D) $\begin{array}{rrrr}& -0 &\quad\quad\quad 50,000 &\quad -0\end{array}$