The Balance Sheet of Rogers, Dennis & Berry LLP Prior

question 8

Essay

The balance sheet of Rogers, Dennis & Berry LLP prior to liquidation included the following:
$$\begin{array} { | l | r | } \hline \text { Cash } & \$ 40,000 \\\hline \text { Noncash assets } & 80,000 \\\hline \text { Liabilities } & 20,000 \\\hline \text { Loan Payable to Rogers } & 10,000 \\\hline \text { Rogers, Capital } & 35,000 \\\hline \text { Dennis, Capital } & 30,000 \\\hline \text { Berry, Capital } & 25,000 \\\hline\end{array}$$ The three partners shared net income and losses in a 5:3:2 ratio, respectively. Noncash assets were sold for $60,000. Creditors were paid in full, partners were paid $35,000, and the balance of cash was retained pending future developments.
Determine the cash to be retained and prepare a schedule to distribute $35,000 cash to the partners.

---

Definitions:

Urbanization

refers to the process by which towns and cities grow as populations move from rural to urban areas, often in search of better economic opportunities.

Triple Bottom Line

A company’s balance sheet according to profit, people, and the planet.

Environmental Impact

The effect of human activity on the natural environment, which can range from pollution and destruction of ecosystems to conservation and restoration efforts.

Social Responsibility

refers to the obligation of individuals, organizations, and governments to act in a way that benefits society at large, beyond their own interests.