Liquidating the Partnership with Losses on the Sale of Noncash Assets Guice and Ward decide to end their partnership on September 21. They share profits and losses equally. The account balances of the partnership as of that date follow. Cash $6,500 Inventory 8,800 Equipment (book value) 2,700 Accounts Payable 4,000 Guice, Capital 6,800 Ward, Capital 7,200 The partnership sold the inventory for $5,000 and the equipment for $2,000. All of the accounts payable will be paid in full with the cash. Instructions In your working papers, prepare the journal entries to record the liquidation of this partnership. Use general journal page 85.
Chapter 19 UCC Merchants & Sale of Goods o Good faith o Right to cure Price, Quantity, Quality, Terms of Delivery o Course of dealing o Trade usage: trade terms (bakers dozen, 4x4) o Modification: new agreement agreement, capacity, consideration UCC, not a contract o Assignment: binding Delivery: seller has to make available at their place of business o Buyers right & obligation to inspect (formal amount of time) o Accept/revoke/reject o Rights on improper delivery Confirming- not going to comply Reject/cure o Repudiation-not going to comply Sue/cover Someone does something from providing confo