Rodriguez,Sate and Melton are dissolving their partnership.Their partnership agreement allocates income and losses equally among the partners.The current period's ending capital account balances are Rodriguez,$32,000,Sate,$28,000,Melton,$(4,000).After all the assets are sold and liabilities are paid,but before any contributions are considered to cover any deficiencies,there is $56,000 in cash to be distributed.Melton pays $2,000 to cover the deficiency in her account.The final distribution of cash would be as follows:
A)Rodriquez $30,000 and State $26,000.
B)Rodriquez $32,000 and State $26,000.
C)Rodriquez $30,000 and State $28,000.
D)Rodriquez $30,000 and State $27,000.
E)Rodriquez $31,000 and State $27,000.

Question

Quizplus · Accepted Answer

The Answer of Rodriguez,Sate and Melton are dissolving their partnership.Their partnership agreement allocates income and losses equally among the partners.The current period's ending capital account balances are Rodriguez,$32,000,Sate,$28,000,Melton,$(4,000).After all the assets are sold and liabilities are paid,but before any contributions are considered to cover any deficiencies,there is $56,000 in cash to be distributed.Melton pays $2,000 to cover the deficiency in her account.The final distribution of cash would be as follows:
A)Rodriquez $30,000 and State $26,000.
B)Rodriquez $32,000 and State $26,000.
C)Rodriquez $30,000 and State $28,000.
D)Rodriquez $30,000 and State $27,000.
E)Rodriquez $31,000 and State $27,000.

Rodriguez,Sate and Melton Are Dissolving Their Partnership