Arenas, Dulay and Laurente Capital

Statement of Liquidation

June 30, 2019

cash Non-cash liabilities Arenas, Dulay, Laurente,

asset Capital Capital Capital
P/L Ratio 1/3 1/3 1/3

Balances P50,000 P2,350,000 P400,000 P900,000 P500,000 P600,000

before
liquidation
Sale of non- 2,650,000 (2,350,000) 100,000 100,000 100,000
cash asset
and
distribution
of gains
balances 2,700,000 0 400,000 1,000,000 600,000 700,000
Payment to (400,000) (400,000)
liabilities to
Outsiders
balances 2,300,000 0 0 1,000,000 600,000 700,000
Payment to (2,300,000) (1,000,000) (600,000) (700,000)
partners

1. Sale of all non-cash assets.

Cash P2,650,000

Non-cash assets P2,350,000

Gains of Realization 300,000

To record sales of non-cash assets with gains on realization

2. Distribution of gain on realization to the partners.

Gains of Realization 300,000

Arenas, Capital 100,000

 Dulay, Capital 100,000

Laurente, Capital 100,000

To record distribution of gain on realization

3. Payment of the liabilities.

Liabilities 400,000

Cash 400,000
To record payment of liabilities

4. Distribution of cash to the partners.

Arenas, Capital 1,000,000

Dulay, Capital 600,000

Laurente, Capital 700,000

Cash 2,300,000

To record distribution of cash to partners

 Miranda, Leon, and Estoque

Statement of Liquidation

March 31, 2019

cash Non-cash Liabilities Miranda, Leon, Capital Estoque,

asset Capital Capital
P/L Ratio 1/3 1/3 1/3

Balances P150,000 P2,600,000 P750,000 P400,000 P600,000 P1,000,000

before
liquidation
Sale of non- 2,150,000 (2,600,000) (150,000) (150,000) (150,000)
cash asset
and
distribution
of loss
balances 2,300,000 750,000 250,000 450,000 850,000
Payment of (750,000) (750,000)
liabilities to
Outsiders
balances 1,550,000 250,000 450,000 850,000
Payment to (1,550,000) (250,000) (450,000) (850,000)
partners

1. Sale of all non-cash assets.

Cash P2, 150,000

Loss on Realization 450,000

Non-cash assets P2,600,000

To record sale of non-cash asset and loss on realization

2. Distribution of loss on realization to the partners.

Miranda, Capital 150,000

Leon, Capital 150,000

Estoque, Capital 150,000

 Loss on realization 450,000

To record the distribution of loss on realization

3. Payment of the liabilities.

Liabilities 750,000

Cash 750,000

To record payment of liabilities

4. Distribution of cash to the partners.

Miranda, Capital 250,000

Leon, Capital 450,000

Estoque, Capital 850,000

Cash 1,550,000

To record the distribution of cash to partners