Neco 2018 Financial Accounting Question 20

Partners X, Y and Z share profits and losses in the ratio 2:3:5. Their capital balances at dissolution are X \(120,000\) naira, Y \(180,000\) naira and Z \(300,000\) naira. The partnership has a loan payable of \(150,000\) naira and an outstanding rent receivable of \(20,000\) naira. The partnership also owns a building with a book value of \(500,000\) naira and a market value of \(650,000\) naira, which is sold at market value. Goodwill of \(100,000\) naira is to be recognized and shared among the partners in their profit‑sharing ratio. After settling the loan and collecting the rent receivable, the remaining cash is distributed to the partners in the profit‑sharing ratio. Determine the amount each partner receives on dissolution.