PREPARE SEPARATE JOURNAL ENTRIES TO RECORD THE TRANSFER OF EACH PROPRIETORSHIP'S ASSET AND LIABILITIES TO THE PARTNERSHIP

PREPARE A CLASSIFED BALANCE SHEET FOR THE PARTNERSHIP ON JAN 1

3 Weygandt, Accounting Principles, 13e Problem 12-01A a-c (Part Level Submission) (Video) The post-closing trial balances of two proprietorships on January 1, 2020. are presented below. Cash Accounts receivable Allowance for doubtful accounts Inventory Equipment Accumulated depreciation-equipment Notes payable Accounts payable Sorensen, capital Lucas, capital Sorensen Company Dr. $16.000 20,500 $3,500 30,500 52,000 27,800 20.900 25,500 41,300 Lucas Company Dr. C $13,900 30.000 55,100 21,300 34.000 12,800 17,400 36,000 27,900 $99,200 $119.000 $119,000 599,200 Sorensen and Lucas decide to form a partnership, Sandhill Company, with the following agreed upon valuations for noncash asset Sorensen Company Lucas Company Accounts receivable $20,500 $30,000 Allowance for doubtful accounts 5,200 4,600 Inventory 32.500 23,200 Equipment 29,000 17,400 All cash will be transferred to the partnership, and the partnership will assume all the liabilities of the two proprietorships. (a) Prepare separate journal entries to record the transfer of each proprietorship's assets and liabilities to the partnership. (Credit ac Date Account Titles and Explanation Debit Credit Jan. 1 v 7 (Transfer of Sorensen's assets and liabilities.) Jan. 1