If $55,000 was received from converting noncash asset into cash

1- The partner pays his deficiency

Cash Non-Cash Liability M. Capital W. Capital D. Capital
Beg. Balance 27,500 74,000 44,500 33,000 21,000 3,000
Sell Non-Cash 55,000 (74,000) - (9,500) (5,700) (3,800)
Ending Balance 82,500 0 44,500 23,500 15,300 (800)
Pay Liability (44,500) - (44,500) - - -
Ending Balance 38,000 0 0 23,500 15,300 (800)
Pay Deficiency 800 - - - - 800
Ending Balance 38,800 0 0 23,500 15,300 0
Distribution of Cash (38,800) - - (23,500) (15,300) -
Ending Balance 0 0 0 0 0 0
 Dr. Cr.
Cash 55,000
AFDA 1,000
Acc. Dep. 5,500
Loss on realization 19,000
A/R 25,000
Merchandise inventory 34,500
Equipment 21,000
M. Capital (19,000 x 5/10) 9,500
W. Capital (19,000 x 3/10) 5,700
D. Capital (19,000 x 2/10) 3,800
Loss on realization 19,000
N/P 13,500
A/P 27,000
W/P 4,000
Cash 44,500
Cash 800
D. Capital 800
M. Capital 23,500
W. Capital 15,300
Cash 38,800
 2- Other partners pay the deficiency
Cash Non-Cash Liability M. Capital W. Capital D. Capital
Beg. Balance 27,500 74,000 44,500 33,000 21,000 3,000
(9,500) (5,700) (3,800)
Sell Non-Cash 55,000 (74,000) -
19,000 x 5/10 19,000 x 3/10 19,000 x 2/10

Ending Balance 82,500 0 44,500 23,500 15,300 (800)

Pay Liability (44,500) - (44,500) - - -
Ending Balance 38,000 0 0 23,500 15,300 (800)
Pay Deficiency - - - (500) (300) 800
Ending Balance 38,000 0 0 23,000 15,000 0
Distribution of Cash (38,000) - - (23,000) (15,000) -
Ending Balance 0 0 0 0 0 0

Dr. Cr.
Cash 55,000
AFDA 1,000
Acc. Dep. 5,500
Loss on realization 19,000
A/R 25,000
Merchandise inventory 34,500
Equipment 21,000
M. Capital (19,000 x 5/10) 9,500
W. Capital (19,000 x 3/10) 5,700
D. Capital (19,000 x 2/10) 3,800
Loss on realization 19,000
N/P 13,500
A/P 27,000
W/P 4,000
Cash 44,500
M. Capital (800 x 5/8) 500
W. Capital (800 x 3/8) 300
D. Capital 800
M. Capital 23,000
W. Capital 15,000
Cash 38,000