Problem 12-01A a-c (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. Cr. $16,000 19,500 $3,400 29,500 50,000 26,900 20,200 24,600 39,900 Lucas Company Dr. Cr. $13,400 29,000 54,900 20,500 32,000 12,300 16,800 34,700 $115,000 $115,000 $95,000 26,300 $95,000 Sorensen and Lucas decide to form a partnership, Sunland Company, with the following agreed upon valuations for noncash assets. Accounts receivable Allowance for doubtful accounts Inventory Equipment Sorensen Company_ $19,500 5,000 31,400 28,000 Lucas Company $29,000 4,500 22,400 16,800 All cash will be transferred to the partnership, and the partnership will assume all the liabilities of the two proprietorships. Prepare separate journal entries to record the transfer of each proprietorship's assets and liabilities to the partnership. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jan. 1 (Transfer of Sorensen's assets and liabilities.) Jan. 1 Further, it is agreed that Sorensen will invest an additional $5,600 in cash, and Lucas will invest an additional $21,300 in cash. Journalize the additional cash investment by each partner. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit No. Jan. 1 (To record Sorensen's investment.) Jan. 1 (To record Lucas' investment.) SHOW LIST OF ACCOUNTS LINK TO TEXT LINK TO TEXT Prepare a classified balance sheet for the partnership on January 1, 2020. (List Current Assets in order of liquidity.) SUNLAND COMPANY Balance Sheet Assets Liabilities and Owners' Equity Click if you would like to Show Work for this question: Open Show Work