Piecemeal realizations and distributions, Financial Accounting

Piecemeal Realizations and Distributions

Partnership dissolutions may take a substantial number of days even months) so it is unlikely that all cash generated will be simultaneous, unless the business is sold off as a going concern, i.e. a single unit.

The partners may not be willing to wait for such long durations for the process to be complete before receiving their repayments of capital.

It is therefore common practice to make interim distributions to partners as soon as a reasonable amount of cash is available.  However, all liabilities must have been paid off by the time any distribution is made to a partner.

Posted Date: 12/11/2012 6:53:52 AM | Location : United States







Related Discussions:- Piecemeal realizations and distributions, Assignment Help, Ask Question on Piecemeal realizations and distributions, Get Answer, Expert's Help, Piecemeal realizations and distributions Discussions

Write discussion on Piecemeal realizations and distributions
Your posts are moderated
Related Questions

The intestate leaves one surviving spouse, but no child or children The surviving spouse is entitled to: 1. The personal and household effects of the deceased absolutely: "per

The economic demand quantity can also be found out with the assist of a graph. In this technique ordering cost, carrying cost and total inventory costs as per various lot sizes are

In May of 2010, a business placed in service $35,000 of property eligible for limited expensing under §179. Line 13 of Form 4562 for 2009 was $15,000. Net income before cost recove


Derivation of Formulas i) Future Value of an Annuity Future value of an annuity is FVA n = A(1 + k) n -1 + A (1 + k) n - 2   + .......A (1 + k) + A     ............

(a) IFRS 8 Operating segments requires that segmental information be provided by listed entities. Clearly FGH is looking to list and hence IFRS 8 will be applicable. The disclosure

1. Lett Corp declared and issued a 15% stock dividend when they had 100,000 shares of common stock issued and outstanding. The market price of the stock was $20 per share on the de

Company X is presumably doing well. The corporation's balance sheet last September 31 can be summarized as follows: Total Assets

1.From the following information you are required to prepare a cash Flow statement of XYZ Ltd for the year ended 31 st December 2009 LIABILITIES