Rodriguez,Sate,and Melton Are Dissolving Their Partnership

question 125

Multiple Choice

Rodriguez,Sate,and Melton are dissolving their partnership.Their partnership agreement allocates income and losses equally among the partners.The current period's ending capital account balances are Rodriguez,$32,000; Sate,$28,000; and Melton,$(4,000) .After all the assets are sold and liabilities are paid,but before any contributions are considered to cover any deficiencies,there is $56,000 in cash to be distributed.Melton pays $2,000 to cover the deficiency in her account.The final distribution of cash would be as follows:

• A) Rodriquez $30,000 and State $26,000.
• B) Rodriquez $32,000 and State $26,000.
• C) Rodriquez $30,000 and State $28,000.
• D) Rodriquez $30,000 and State $27,000.
• E) Rodriquez $31,000 and State $27,000.

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Definitions:

Organic Product

A compound produced through an organic reaction, typically consisting of carbon atoms in combination with hydrogen, oxygen, nitrogen, or other elements.

Ketone

Organic compounds featuring a carbonyl group (C=O) bonded to two carbon atoms, used in solvents and in the manufacture of various chemicals.

Enol

A chemical species characterized by a carbon-carbon double bond adjacent to an alcohol group, often in equilibrium with its keto form.

Equilibrium

A state in which the rates of the forward and reverse reactions are equal, leading to no net change in the concentration of reactants and products over time.