Tommy Riley and Derrick Victor are partners who share profits and losses in the ratio of 40:60, respectively. On December 31, 2019, they decide that Victor will sell one-half of his interest to John Lynch. At that time, the balances of the capital accounts are $241,000 for Riley and $341,000 for Victor. The partners agree that before the new partner is admitted, certain assets should be revalued. These assets include merchandise Inventory carried at $204,700, revalued at $200,000, and a building with a book value of $121,000, revalued at $211,500. 1. Record the revaluations in the general journal. 2. What will the capital balances of the two existing partners be after the revaluation is made? Complete this question by entering your answer in the tabs below. Required 1 Required 2 Record the revaluations in the general journal.