Eve, Fig, Gus, and Hal are partners who share profits and losses 50%, 25%, 15%, and 10%, respectively.The partnership will be liquidated gradually over several months beginning January 1, 2011.The partnership trial balance at December 31, 2010 is as follows:
Required:
Prepare a cash distribution plan for January 1, 2011, showing how cash installments will be distributed among the partners as it becomes available.Prepare vulnerability rankings for the partners and a schedule of assumed loss absorption.

Question

Eve, Fig, Gus, and Hal are partners who share profits and losses 50%, 25%, 15%, and 10%, respectively.The partnership will be liquidated gradually over several months beginning January 1, 2011.The partnership trial balance at December 31, 2010 is as follows:
  Required:
Prepare a cash distribution plan for January 1, 2011, showing how cash installments will be distributed among the partners as it becomes available.Prepare vulnerability rankings for the partners and a schedule of assumed loss absorption.

Quizplus · Accepted Answer

The Answer of Eve, Fig, Gus, and Hal are partners who share profits and losses 50%, 25%, 15%, and 10%, respectively.The partnership will be liquidated gradually over several months beginning January 1, 2011.The partnership trial balance at December 31, 2010 is as follows:
  Required:
Prepare a cash distribution plan for January 1, 2011, showing how cash installments will be distributed among the partners as it becomes available.Prepare vulnerability rankings for the partners and a schedule of assumed loss absorption.

Eve, Fig, Gus, and Hal Are Partners Who Share Profits