Your company is a partnership with you and one other owner, each with a 50% stake. The company has has assets of $247,965 and liabilities of $410,920. You both decide to liquidate the company. Assuming you can sell the assets at their listed value, how much will you be personally liable for?

Question

Nixon

Business

15 August, 16:11

Your company is a partnership with you and one other owner, each with a 50% stake. The company has has assets of $247,965 and liabilities of $410,920. You both decide to liquidate the company. Assuming you can sell the assets at their listed value, how much will you be personally liable for?

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Answers (1)

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Abraham Mills · Answer 1

I will be legally responsible for $81,477.5

Explanation:

When a company is liquidated in the U. S., its creditors should be paid, according to the Section 507 of the Bankruptcy Code. since the company has assets of $247,965 and liabilities of $410,930. after liquidating the assets, me and my partner will decide to pay the liabilities with the liquidated assets. Now the remaining liabilities for the company will be $162,955. now we will split the liabilities into two equal amounts and the remaining liabilities for a partner will be $81,477.5.