Answer:
a. Inventory is sold for $608,400.
gain on sale of inventory = $608,400 - $537,600 = $70,800
allocation of gain:
Kendra 1/2 x $70,800 = $35,400
Cogley 1/3 x $70,800 = $23,600
Mei 1/6 x $70,800 = $11,800
Dr Cash 608,400
     Cr Inventory 537,600
     Cr Gain on sale of inventory 70,800
Dr Gain on sale of inventory 70,800
     Cr Kendra, capital 35,400
     Cr Cogley, capital 23,600
     Cr Mei, capital 11,800
Dr Accounts payable 258,000
     Cr Cash 258,000
Dr Kendra, capital 112,100
Dr Cogley, capital 196,175
Dr Mei, capital 146,025
     Cr Cash 454,300
b. Inventory is sold for $469,200.
loss on sale of inventory = $469,200 - $537,600 = -$69,400
allocation of loss:
Kendra 1/2 x $68,400 = $34,200
Cogley 1/3 x $68,400 = $22,800
Mei 1/6 x $68,400 = $11,400
Dr Cash 469,200
Dr Loss on sale of inventory 68,400
     Cr Inventory 537,600
   
Dr Kendra, capital 34,300
Dr Cogley, capital 22,800
Dr Mei, capital 11,400
     Dr Loss on sale of inventory 68,400
Dr Accounts payable 258,000
     Cr Cash 258,000
Dr Kendra, capital 42,400
Dr Cogley, capital 149,775
Dr Mei, capital 122,825
     Dr Cash 315,100
c) c. Inventory is sold for $358,800 and any partners with capital deficits pay in the amount of their deficits.
loss on sale of inventory = $358,800 - $537,600 = -$178,800
allocation of loss:
Kendra 1/2 x $178,800 = $89,400
Cogley 1/3 x $178,800 = $59,600
Mei 1/6 x $178,800 = $29,800
Dr Cash 358,800
Dr Loss on sale of inventory 178,800
     Cr Inventory 537,600
   
Dr Kendra, capital 89,400
Dr Cogley, capital 59,600
Dr Mei, capital 29,800
     Dr Loss on sale of inventory 178,800
Dr Cash 12,700
     Cr Kendra, capital 12,700
Dr Accounts payable 258,000
     Cr Cash 258,000
Dr Cogley, capital 112,975
Dr Mei, capital 104,425
     Dr Cash 217,400
     
d. Inventory is sold for $298,800 and the partners have no assets other than those invested in the partnership.
loss on sale of inventory = $298,800 - $537,600 = -$238,800
allocation of loss:
Kendra 1/2 x $238,800 = $119,400
Cogley 1/3 x $238,800 = $79,600
Mei 1/6 x $238,800 = $39,800
Dr Cash 298,800
Dr Loss on sale of inventory 238,800
     Cr Inventory 537,600
   
Dr Kendra, capital 119,400
Dr Cogley, capital 79,600
Dr Mei, capital 39,800
     Dr Loss on sale of inventory 238,800
Dr Cogley, capital 28,467
Dr Mei, capital 14,233
     Cr Kendra, capital 42,700
Dr Accounts payable 258,000
     Cr Cash 258,000
Dr Cogley, capital 64,508
Dr Mei, capital 80,192
     Dr Cash 144,700