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Problem 1: Mom, Bob and Gag are partners with capital balances of $320,000, $450,000 and $520,000 respectively with profit and loss sharing ratio of 2:3:5 respectively. The entity owes Bob $20,000. Upon liquidation, $390,000 is available for distribution to the partners. How much cash will Mom receive?
Option 1: 78,000
Option 2: 136,000
Option 3: 258,000
Option 4: 320,000
Prepare the necessary adjusting journal entries for items a through and 2. Prepare the adjusted trial balance
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