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Required information [The following information applies to the questions displayed below.] Complete the following questions by preparing worksheet and journal entries given below. The partnership of Butler, Osman, and Ward was formed several years as a local tax preparation firm. Two partners have reached retirement age and the partners have decided to terminate operations and liquidate the business. Liquidation expenses of $43,000 are expected. The partnership balance sheet at the start of liquidation is as follows: Cash $ 39,000 Liabilities $ 179,000 Accounts receivable 69,000 Butler, loan 39,000 Office equipment (net) 59,000 Butler, capital (25%) 95,000 Building (net) 155,000 Osman, capital (25%) 39,000 Land 145,000 Ward, capital (50%) 115,000 Total assets $ 467,000 Total liabilities and capital $ 467,000 rev: 10_29_2019_QC_CS-188028

The following transactions transpire in chronological order during the liquidation of the partnership:

1. Collected 90 percent of the accounts receivable and wrote the remainder off as uncollectible.

2. Sold the office equipment for $24,500, the building for $114,000, and the land for $156,000.

3. Made safe capital distributions.

4. Paid all liabilities in full.

5. Paid actual liquidation expenses of $34,500 only.

6. Made final cash distributions to the partners.

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