The remaining cash of a partnership (after creditors have been paid) upon liquidation is divided among partners according to their

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The remaining cash in a partnership, after creditors have been paid, is divided among partners according to their capital balances. This is because each partner's capital balance represents their investment in the partnership, and therefore reflects their ownership percentage of the remaining assets.  Contribution of assets, drawing balances, and income sharing ratio are not relevant factors in determining the distribution of remaining cash upon liquidation.

The Remaining Cash of a Partnership (After Creditors Have Been