On August 1,2017,Salt,Pepper,and Spice agree to liquidate their partnership.Salt has a capital balance of $90,000,Pepper has a capital balance of $37,500,and Spice has a capital balance of $30,000.The partners share net income/net loss in a ratio of 4:3:3.Accounts payable amount to $60,000.Assets are shown on the balance sheet at $40,000 of cash and $177,500 of noncash assets.All the noncash assets are sold for $159,500.
Prepare entries to sell the noncash assets,pay the liabilities,and distribute the remaining cash to the partners.

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The Answer of On August 1,2017,Salt,Pepper,and Spice agree to liquidate their partnership.Salt has a capital balance of $90,000,Pepper has a capital balance of $37,500,and Spice has a capital balance of $30,000.The partners share net income/net loss in a ratio of 4:3:3.Accounts payable amount to $60,000.Assets are shown on the balance sheet at $40,000 of cash and $177,500 of noncash assets.All the noncash assets are sold for $159,500.
Prepare entries to sell the noncash assets,pay the liabilities,and distribute the remaining cash to the partners.

On August 1,2017,Salt,Pepper,and Spice Agree to Liquidate Their Partnership