The partnership of Ramos, Rios, Safar, and Wong is being liquidated. It currently holds cash of $21,800 but no other assets. Liabilitiesamount to $55,400. The capital balances areRamos (40% of profits and losses)Rios (208)Safar (20%)Wong (20%)Required:$ 26,40024,000(40,000) (deficit)(44,000) (deficit)a. If both Safar and Wong are personally insolvent, how much money must Rios contribute to the partnership?b-1. If only Wong is personally insolvent, how much money must Safar contribute to the partnership?b-2. If only Wong is personally insolvent, how will Safar's contribution (funds) be distributed?c. If only Safar is personally insolvent, how much money should Ramos receive from the liquidation?Note: For all requirements, do not round intermediate calculations. Round your answers to the nearest whole dollar amount.* Answer is complete but not entirely correct.a.Rio's contribution$66,000b-1Safar contribution$ (40,000)b-Creditors$21,800x2.b-Ramos$66,0002.b-Rios$0×2.C.Ramos should receive$0×

If the partnership decides to liquidate, the assets of the partnership are sold, liabilities are…

Ribs, Safar, and Wong is being liquidated. It curr mount to $55,400. The capital balances are Ramos (40% of profits and losses) Rios (208) Safar (20%) Wong (208) quired: $ 26,400 24,000 (40,000) (deficit). (44,000) (deficit) If both Safar and Wong are personally insolvent, how much money must -1. If only Wong is personally insolvent, how much money must Safar con -2. If only Wong is personally insolvent, how will Safar's contribution (func If only Safar is personally insolvent, how much money should Ramos rec te: For all requirements, do not round intermediate calculations. Roun Answer is complete but not entirely correct. Rio's contribution $ 66,000

Ribs, Safar, and Wong is being liquidated. It curr mount to $55,400. The capital balances are Ramos (40% of profits and losses) Rios (208) Safar (20%) Wong (208) quired: $ 26,400 24,000 (40,000) (deficit). (44,000) (deficit) If both Safar and Wong are personally insolvent, how much money must -1. If only Wong is personally insolvent, how much money must Safar con -2. If only Wong is personally insolvent, how will Safar's contribution (func If only Safar is personally insolvent, how much money should Ramos rec te: For all requirements, do not round intermediate calculations. Roun Answer is complete but not entirely correct. Rio's contribution $ 66,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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The partnership of Ramos, Rios, Safar, and Wong is being liquidated. It currently holds cash of $21,800 but no other assets. Liabilities amount to $55,400. The capital balances are Ramos (40% of profits and losses) Rios (20%) Safar (20%) Wong (20%) Required: $ 26,400 24,000 (40,000) (deficit) (44,000) (deficit) a. If both Safar and Wong are personally insolvent, how much money must Rios contribute to the partnership? b-1. If only Wong is personally insolvent, how much money must Safar contribute to the partnership? b-2. If only Wong is personally insolvent, how will Safar's contribution (funds) be distributed? c. If only Safar is personally insolvent, how much money should Ramos receive from the liquidation? Note: For all requirements, do not round intermediate calculations. Round your answers to the nearest whole dollar amount. * Answer is complete but not entirely correct. a. Rio's contribution $ 66,000 b-1 Safar contribution $ (40,000) b- Creditors $ 21,800x 2. b- Ramos $ 66,000 2.…
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