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

Q. Evaluate Equivalent annual cost? There are a number of techniques to answering this question and two are presented. The first difficulty is in deciding which broad approach

Equation illustrates the relationship in between PVA n , A, K and n. So manipulating this a bit: We find that A = PVA n [(k (1 + k) n )/((1 +k) n - 1)] [(k (1 + k) n )/(

Beginning balance 24,000 cash Sales 250,000 Gross profit 45% of sales Accounts receivable increase by 24,000 Accounts payable increased by 51,000 Inventory increased by 98,000 Sell

Assuming the robot is placed on track at the packing station facing away from the station) the robot traverses the entire track. During this step, the robot will follow a left-hand

Non-for-Profit Organization/Tax-Exempt Organization - An incorporated organization that exists for charitable or educational purposes, and from that its shareholders or trustees do

Presentation method (formerly closing rate or net investment method) Under this method, the branch operates with a lot of degree of autonomy from the head office. This position i

Agreements to settle property The trustee is not bound by such an agreement if it remains executory. If property has already been settled, the trustee can recover it unless it

Sheridon Corporation is investigating automating a process by purchasing a new machine for $515,000 that would have a 10 year useful life and no salvage value. By automating the pr

I am an AAT student studying lvl 3 AAT at college. I wish to learn how to complete self assessment end of year tax return forms for other people. That is because I have already bee