The post closing trial blances of two proprietorships on January $1,2022$ are presented below.

Sorensen Company Lucas Company

Dr$.$ Cr$.$ Dr$.$ Cr$.$

Cash $11,0009,400$

Accounts receivable $13,50020,000$

Allowance for doubtful accounts $2,3003,400$

Inventory $20,50014,400$

Equipment $35,00023,000$

Accumulated depreciation$-$equipment $18,7008,600$

Notes Payable $14,00011,7000$

Accounts payable $17,20024,200$

Sorensen capital $27,800$

Lucas Capital $18,900$

$80,00080,00066,80066,800$

Sorensen and Lucas decide to form a partnership, Cullumber Company with the following agrees upon valuations for noncash assets.

Sorenson Company Lucas Company

Accounts receivable $13,50020,000$

Allowance for doubtful accounts $3,5003,100$

Inventory $21,80015,600$

Equipment $19,50011,700$

All cash will be transferred to the partnership and the partnership will assume all liability of the two proprietorships.

A$.$ Prepare separate journal entries to record the transfer of each proprietorship$$s assists and liabilities.

B$.$ Further it is agreed that Sorensen will invest an additional $$3,900$ in cash, and Lucas will invest an additional $$14,800$ in cash Journalize the additional cash investment by eash partner $.$

C$.$ Prepare a classified balance sheet for the partnership on January $1,2022.$