Entries and Balance Sheet for Partnership On April 1, 2011, Whitney Lang and Ell Capri form a partnership. Lang agrees to invest $17,500 cash and merchandise Inventory valued at $47,300. Capri invests certain business assets at valuations agreed upon, transfers business liabilities, and contributes sufficient cash to bring his total capital to $117,000. Details regarding the book values of the business assets and liabilities, and the agreed valuations, follow: Capri's Ledger Agreed-Upon Balance Balance Accounts Receivable $26,800 $21,700 Allowance for Doubtful Accounts 1,200 1,500 Merchandise Inventory 31,200 41,000 Equipment 52,500 Accumulated Depreciation Equipment 50,900 17,500 Accounts Payable 9,500 9,500 Notes Payable (current) 5,300 5,800 The partnership agreement includes the following provisions regarding the division of net income: interest of 10% on original investments, salary allowances of 552,500 (Lang) and $32,000 (Capri), and the remainder equally Entries and Balance Sheet for Partnership On April 1, 2011, Whitney Lang and Ell Capri form a partnership. Lang agrees to invest $17,500 cash and merchandise Inventory valued at $47,300. Capri invests certain business assets at valuations agreed upon, transfers business liabilities, and contributes sufficient cash to bring his total capital to $117,000. Details regarding the book values of the business assets and liabilities, and the agreed valuations, follow: Capri's Ledger Agreed-Upon Balance Balance Accounts Receivable $26,800 $21,700 Allowance for Doubtful Accounts 1,200 1,500 Merchandise Inventory 31,200 41,000 Equipment 52,500 Accumulated Depreciation Equipment 50,900 17,500 Accounts Payable 9,500 9,500 Notes Payable (current) 5,300 5,800 The partnership agreement includes the following provisions regarding the division of net income: interest of 10% on original investments, salary allowances of 552,500 (Lang) and $32,000 (Capri), and the remainder equally