question archive The Keaton, Lewis, and Meador partnership had the following balance sheet just before entering liquidation: Cash $100,000 Liabilities $40,000 Noncash assets $210,000 Keaton, Capital 90,000 Lewis, Capital 60,000 Meador, Capital 120,000 Total 310,000 Total $310,000 Keaton, Lewis, and Meador share profits and losses in a ratio of 2:4:4
The Keaton, Lewis, and Meador partnership had the following balance sheet just before entering liquidation: Cash $100,000 Liabilities $40,000 Noncash assets $210,000 Keaton, Capital 90,000 Lewis, Capital 60,000 Meador, Capital 120,000 Total 310,000 Total $310,000 Keaton, Lewis, and Meador share profits and losses in a ratio of 2:4:4
Subject:AccountingPrice: Bought3
The Keaton, Lewis, and Meador partnership had the following balance sheet just before entering liquidation:
|
Cash |
$100,000 |
Liabilities |
$40,000 |
|
Noncash assets |
$210,000 |
Keaton, Capital |
90,000 |
|
Lewis, Capital |
60,000 |
||
|
Meador, Capital |
120,000 |
||
|
Total |
310,000 |
Total |
$310,000 |
Keaton, Lewis, and Meador share profits and losses in a ratio of 2:4:4.
Assume that noncash assets were sold for $58,000 and liquidation expenses in the amount of $10,000 were incurred. If Lewis was personally insolvent and could not contribute any assets to the partnership, and Keaton and Meador were both solvent, what amount of cash would Keaton receive from the distribution of partnership assets?
- $0.
- $56,000.
- $57,600.
- $59,600.
- $60,000.
