The last entry to liquidate a partnership would probably include:
A) debit to Capital (for each partner); credit to Cash.
B) debit to Cash; debit or credit to Loss or Gain from Realization; credit to individual assets sold.
C) debit to individual assets sold; credit to Cash.
D) None of the above

Question

Quizplus · Accepted Answer

The last entry to liquidate a partnership typically involves distributing the remaining cash to the partners according to their capital balances, which is represented by debiting the Capital accounts (for each partner) and crediting Cash. This reflects the final cash distribution to partners, closing out the partnership.

The Last Entry to Liquidate a Partnership Would Probably Include