REFERENCE: 10-08
White,Sands,and Luke Has the Following Capital Account Balances $\begin{array}{ccc} & \text { White } &&& \text { Sands } & \text { Luke } \\\end{array}$

question 44

Short Answer

REFERENCE: 10-08
White,Sands,and Luke has the following capital account balances and profit and loss ratios:
$60,000 (30%);$100,000 (20%);and $200,000 (50%).
The partnership has received a predistribution plan.
-How would $90,000 be distributed?
$\begin{array}{ccc} & \text { White } &&& \text { Sands } & \text { Luke } \\\end{array}$
A) $\begin{array}{ccc} & \$ 15,000 & \$ 25,000 & \$ 50,000 \\\end{array}$
B) $\begin{array}{ccc} & \$ 0&&&&\$ 18,947 & \$ 71,053 \\\end{array}$
C) $\begin{array}{ccc} & \$0&&&& \$ 40,000 & \$ 50,000 \\\end{array}$
D) $\begin{array}{ccc} & \$0&&& & \$ 10,588 & \$ 79,412 \\\end{array}$
E) $\begin{array}{ccc} & \$ 27,000 && \$ 18,000 & \$ 45,000 \\\end{array}$

• A) \(\begin{array}{ccc} & \$ 15,000 & \$ 25,000 & \$ 50,000 \\\end{array}\)
• B) \(\begin{array}{ccc} & \$ 0&&&&\$ 18,947 & \$ 71,053 \\\end{array}\)
• C) \(\begin{array}{ccc} & \$0&&&& \$ 40,000 & \$ 50,000 \\\end{array}\)
• D) \(\begin{array}{ccc} & \$0&&& & \$ 10,588 & \$ 79,412 \\\end{array}\)
• E)\(\begin{array}{ccc} & \$ 27,000 && \$ 18,000 & \$ 45,000 \\
• \end{array}\)

---

Definitions:

Contributive Liberty

A concept in political philosophy referring to the condition whereby individuals have the freedom to contribute to societal decisions that affect them.

Self-Development

The process of improving one’s skills, knowledge, and competencies through personal efforts and activities.

Self-Fulfillment

The achievement of one's own potential or the realization of personal dreams and aspirations.

Whistle-Blowing Practices

Protocols and safeguards designed to encourage the reporting of misconduct, illegal, or unethical behavior within an organization.