In the computation of the amount of cash that may be paid to partners of a liquidating limited liability partnership on a specific date, accountants may assume that the maximum potential loss will be equal to the total of remaining noncash assets plus estimated liquidation costs.

Question

Quizplus · Accepted Answer

Accountants assume the maximum potential loss includes the total of remaining noncash assets and estimated liquidation costs to ensure all liabilities are covered before distributing cash to partners.

In the Computation of the Amount of Cash That May