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Phoenix [80]
3 years ago
6

In a partnership liquidation, the final cash distribution to the partners should be made in accordance with the

Business
1 answer:
Ipatiy [6.2K]3 years ago
6 0

Answer: B) balances of the partners' capital accounts.

Explanation:

Final cash distributions should be made proportionally to partners based on what they have in their Capital Accounts.

The balance in the Capital accounts of Partners shows the level of contribution that each partner has made to the business as well as their ownership proportion. When cash is to be distributed finally, it should therefore be based on the proportion of these Capital account balances to reflect the contribution and ownership.

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