McCartney, Harris, and Hussin Are Dissolving Their Partnership

question 101

Multiple Choice

McCartney, Harris, and Hussin are dissolving their partnership.Their partnership agreement allocates income and losses equally among the partners.The current period's ending capital account balances are McCartney, $15,000, Harris, $15,000, Hussin, $(2,000) .After all the assets are sold and liabilities are paid, but before any contributions to cover any deficiencies, there is $28,000 in cash to be distributed.Hussin pays $2,000 to cover the deficiency in his account.The general journal entry to record the final distribution would be:

---

Definitions:

Fixed Capacity

The concept that certain abilities or resources have a set limit that cannot be exceeded.

Values

Fundamental beliefs or standards that guide behavior and decision-making in individuals or groups.

Self-Discipline

The capacity to manage personal emotions and conquer personal flaws; the power to follow through with one's convictions regardless of the temptation to forsake them.

Trusting Relationship

A relationship characterized by confidence, reliance, and faith between parties, often leading to enhanced communication and cooperation.