Chapter 05, Partnership, termination and liquidation

Accounts payable page12 termination liquidation

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Unformatted text preview: the accounts payable. accounts payable. Page 12 Termination & Liquidation Example Once all the assets are sold, the Once all the assets are sold, the accounts payable are paid off. accounts payable are paid off. Page 13 Termination & Liquidation Example The pre-distribution balances are: The pre-distribution balances are: Page 14 Termination & Liquidation Example Once the remaining cash is Once the remaining cash is distributed, the partnership is distributed, the partnership is considered terminated.. considered terminated Page 15 Schedule of Liquidation .The process of liquidation can take time. .The process of liquidation can take time. .. Partners may experience deficit balances during Partners may experience deficit balances during tthe liquidation period. he liquidation period. .. Partners may want cash distributions prior to the Partners may want cash distributions prior to the completion of the liquidation. completion of the liquidation. Page 16 Schedule of Liquidation Because the various parties want to be updated on the Because the various parties want to be updated on the Because progress of the liquidation, a report can be prepared to progress of the liquidation, a report can be prepared to disclose: disclose: Transacti...
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This document was uploaded on 03/25/2014.

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