Recording Partner's Original Investment

Vanessa Kaiser and Mariah Newman decide to form a partnership by combining the assets of their separate businesses. Kaiser contributes the following assets to the partnership: cash, $$13,660$; accounts receivable with a face amount of $$143,430$ and an allowance for doubtful accounts of $$5,170$; inventory with a cost of $$99,440$; and equipment with a cost of $$175,270$ and accumulated depreciation of $$113,930.$

The partners agree that $$6,310$ of the accounts receivable are completely worthless and are not to be accepted by the partnership, that $$10,760$ is a reasonable allowance for the uncollectibility of the remaining accounts, that the inventory is to be recorded at the current market price of $$93,470,$ and that the equipment is to be valued at $$77,290.$

Journalize the partnership's entry to record Kaiser's investment. If an amount box does not require an entry, leave it blank.

Cash

$13,660$

Accounts Receivable

Allowance for Doubtful Accounts

Equipment

Accounts Payable

Vanessa Kaiser, Capital