Stephanie Knoll and Kelly Wayne are forming a partnership to develop a theme park near Farr City, Florida. Knoll contributes cash of $4,250,000 and land with a current market value of $10,000,000. When Knoll purchased the land in 2013, its cost was $5,500,000. The partnership will assume Knoll's $4,000,000 note payable on the land. Wayne contributes cash of $6,250,000 and equipment with a current market value of $3,750,000.

Requirements 1. Journalize the partnership's receipt of assets and liabilities from Knoll and from Wayne.

2. Compute the partnership's total assets, total liabilities, and total partners' equity immediately after organizing.

Requirement 1. Journalize the partnership's receipt of assets and liabilities from Knoll and from Wayne. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) First record the entry for Stephanie Knoll's investment.