The post-closing trial balances of two proprietorships on January 1, 2017, are presented below. Sorensen Company Lucas Company Dr. Cr. Dr. Cr. Cash $17,000 $14,400 Accounts receivable 21,000 31,000 Allowance for doubtful accounts $3,600 $5,300 Inventory 32,000 22,100 Equipment 54,000 35,000 Accumulated depreciationequipment 28,800 13,200 Notes payable 21,600 18,000 Accounts payable 26,400 37,200 Sorensen, capital 43,600 Lucas, capital 28,800 $124,000 $124,000 $102,500 $102,500 Sorensen and Lucas decide to form a partnership, Solu Company, with the following agreed upon valuations for noncash assets. Sorensen Company Lucas Company Accounts receivable $21,000 $31,000 Allowance for doubtful accounts 5,400 4,800 Inventory 33,600 24,000 Equipment 30,000 18,000 All cash will be transferred to the partnership, and the partnership will assume all the liabilities of the two proprietorships. Further, it is agreed that Sorensen will invest an additional $6,000 in cash, and Lucas will invest an additional $22,800 in cash.

Prepare separate journal entries to record the transfer of each proprietorships assets and liabilities to the partnership.