Ram, Rahim and Robert share profits and losses in the ratio of 4:2:1. They decide to dissolve the partnership and their Balance Sheet as on the date of dissolution was as follows:

Liabilities

Rs

Assets

Rs

Trade Creditors

17,100

Land and Buildings

2,87,160

Bank Overdraft

48,750

Plant and Machinery

48,900

General Reserve

28,350

Furniture

7,380

Capital:

Investments

45,000

Ram 1,20,000

Stock

1,92,450

Rahim 2,40,000

Trade Debtors

68,100

Robert 1,95,000

5,55,000

Cash in Hand

210

6,49,200

6,49,200

The partners also decide that after the creditors have all been paid and providing a sum of Rs 3,600 to meet payable expenses of realisation and dissolution, all cash realised should immediately be divided among them. The assets are realised as follows: first realisation – Rs 46,080; second realisation Rs 55,200; third realisation: 2,89,197; final realisation – Rs 1,68,900. Expenses of realisation and dissolution amount to Rs 3,396. Prepare a statement showing how cash should be distributed among the partners according to Maximum Loss Method.