Reference no: EM132953355

A partnership has the following account balances at the date of termination:

Cash, $92,000;

Noncash Assets, $720,000;

Liabilities, $365,000;

Bell, capital (50 percent of profits and losses), $210,000;

Mann, capital (30 percent), $145,000;

Scott, capital (20 percent), $92,000.

The following transactions occur during liquidation:

• Noncash assets with a book value of $560,000 are sold for $460,000 in cash.
• A creditor reduces his claim against the partnership from $120,000 to $90,000, and this amount is paid in cash.
• The remaining noncash assets are sold for $130,000 in cash.
• The remaining liabilities of $245,000 are paid in full.
• Liquidation expenses of $20,000 are paid in cash.
• Cash remaining after the above transactions have occurred is distributed to the partners.

Problem 1: Statement of partnership liquidation to determine how much cash each partner receives from the liquidation of the partnership.