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The Following Balance Sheet Is for Arch, Bole & Cusp

Question 23

Multiple Choice

The following balance sheet is for Arch, Bole & Cusp LLP, whose partners share net income and losses in a 2:2:1 ratio, respectively:
The following balance sheet is for Arch, Bole & Cusp LLP, whose partners share net income and losses in a 2:2:1 ratio, respectively:    -Refer to the above information. If the facts are as in the previous question, except that $3,000 cash is to be withheld for potential liquidation costs, the respective partners would receive (to the nearest dollar) : A)  Arch, $0; Bole, $11,333; Cusp, $5,667 B)  Arch, $0; Bole, $1,000; Cusp, $16,000 C)  Arch, $6,800; Bole, $6,800; Cusp, $3,400 D)  Arch, $5,667; Bole, $5,667; Cusp, $5,666 E)  Some other amounts
-Refer to the above information. If the facts are as in the previous question, except that $3,000 cash is to be withheld for potential liquidation costs, the respective partners would receive (to the nearest dollar) :


A) Arch, $0; Bole, $11,333; Cusp, $5,667
B) Arch, $0; Bole, $1,000; Cusp, $16,000
C) Arch, $6,800; Bole, $6,800; Cusp, $3,400
D) Arch, $5,667; Bole, $5,667; Cusp, $5,666
E) Some other amounts

Correct Answer:

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