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Question - Liquidating Partnerships - Prior to liquidating their partnership, Parker and Xi had capital accounts of $40,000 and $75,000, respectively. Prior to liquidation, the partnership had no cash assets other than what was realized from the sale of assets. These partnership assets were sold for $155,000. The partnership had $10,000 of liabilities. Parker and Xi share income and losses equally. Determine the amount received by Parker as a final distribution from liquidation of the partnership.
Financial Statement Analysis and Preparation
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