(a) Prepare separate journal entries to record the transfer of each proprietorships assets and liabilities to the partnership.

(b) Journalize the additional cash investment by each partner.

The post-closing trial balances of two proprietorships on January 1, 2014, are presented below Sorensen Company Lucas Company Dr Cash Accounts receivable Allowance for doubtful accounts Inventory Equipment Accumulated depreciation equipment Notes payable Accounts payable Sorensen, capital Lucas, capital $14,080 $11,560 25,750 17,730 $2,780 $4,890 26,300 45,330 18,110 29,070 24,300 17,870 21,780 36,710 11,190 14,740 30,830 22,840 $103,440 $103,440 $84,490 $84,490 Sorensen and Lucas decide to form a partnership, Solu Company, with the following agreed upon valuations for noncash assets Sorensen Compan Lucas Compan Accounts receivable Allowance for doubtful accounts Inventory Equipment $17,730 4,170 28,060 25,470 $25,750 4,410 19,880 15,840 All cash will be transferred to the partnership, and the partnership will assume all the liabilities of the two proprietorships. Further, it is agreed that Sorensen will invest an additional $5,210 in cash, and Lucas will invest an additional $23,680 in cash