After realization of all noncash assets and the payment of all liabilities, the balance sheet of the liquidating Pon, Quan & Ron LLP on January 31, 2005, showed Cash,$15,000; Pon, Capital, ($9,000); Quan & Ron, Capital, $16,000, with ( ) indicating a capital deficit. The partners share net income and losses equally.

Question

After realization of all noncash assets and the payment of all liabilities, the balance sheet of the liquidating  Pon, Quan & Ron LLP on January 31, 2005, showed Cash,$15,000; Pon, Capital, ($9,000); Quan & Ron, Capital, $16,000, with ( ) indicating a capital deficit. The partners share net income and losses equally.
Prepare a journal entry for Pon, Quan & Ron LLP Jan 31, 2005, to show the payment  of $15,000 cash in a safe manner to the partners. Show computations in the explaination for the journal entry.

Thaks in advance and have a good one!

Delanour · Answer

Thank you SraJMcGin for the Accounting site; my pleasure for the french answer. Delanour