Reference no: EM132744861

Problem 1: When Janang retired from the partnership, the final settlement of her interest exceeded her capital balance, under the bonus method, the excess is 

a. Recorded as an impairment of asset

b. Recorded as an expense

c. Does not affect the capital balance of the partners

d. Deducted from the capital balances of the other partners

Problem 2: If cash payments to partners during liquidation are delayed until all non-cash assets have been sold, any cash remaining after all the partnership creditors have been paid is distributed

a. According to the liquidator's choice

b. In the profit or loss ratio

c. In the amount equal to the partner's remaining interest

d. Any of the above