Question

Piecemeal Distribution of cash means……. *

After realized assets, liabilities paid off in pieces.

B. Paid off liabilities by Net Assets method.

C. Paid off liabilities by Net payment method.

D. Paid off only capital after realization of assets.​

Answer 1

Answer:

c) after paid of liabilities

When the assets are realised piecemeal and once all the liabilities are paid off, then the problem is how to distribute cash among the partners for repayment of capital. One way out is to wait till the realisation of all the assets. ... This is not possible to capital accounts and then final balances will be paid off.