QUESTION 4 (15 Marks) On 1 October 2018, Mr. Lucas and Mr. Sami formed a partnership. Some business assets and the liabilities of Lucas were assumed by the partnership, and these are listed below at both carrying amounts and fair value. Carrying amount Fair value Cash at bank $28,000 $28,000 Marketable securities 24,000 26,800 Accounts receivables 47,000 47,000 Inventory 122,600 125,400 Equipment 38,500 230,000 Accounts payables 36,000 36,000 Sami contributed a building worth $820,000, land worth $350,000, and a $456,000 mortgage was taken over by the partnership. They agreed to share profits and losses in the ratio of 6:4. During the first year of the partnership, Lucas invested an additional $60,000 in the business and withdrew $45,000. Sami invested an additional $115,200 and withdrew $17,200. The partnership had a profit of $88,460. Retained Earnings accounts are not used. Required: i) Prepare the general journal entries to record the initial investments of both partners (ignore GST). (6 marks) ii) Prepare a statement of changes in partners' equity for the year ended 30 September 2019. (6 marks) iii) 'There is really no need for a partnership agreement since all issues likely to arise among partners are adequately covered in the appropriate Partnership Act.' Discuss