Question

Gilligan, Skipper, and Professor are partners with a profit and loss ratio of 4:3:3. The partnership was liquidated and, prior to the liquidation process, the partnership balance sheet was as follows: After the partnership was liquidated and the cash was distributed, Skipper received $96,000 in cash in full settlement of his interest. The liquidation loss must have been_____________.

Answer 1

The answer is $480.000,00

Step-by-step explanation:

Gilligan, Skipper, and Professor are partners with a profit and loss ratio of 4:3:3. The partnership was liquidated and, prior to the liquidation process, the partnership balance sheet was as follows: After the partnership was liquidated and the cash was distributed, Skipper received $96,000 in cash in full settlement of his interest. The liquidation loss must have been____$480.000,00_________.

Considerig that the assets were:

cash: $60.000 gillian

other assets: $540.000 Skipper and Professor

Total assets: $ 600.000

Considering liabilities and equity:

gillian : $216.000

Skipper: $240.000

Professor: $144.000

Total liabilities and equity: $600.000