On July 1, 20--, Lisa Bush and Wally Dodge combined their two businesses to form a partnership under the firm name of Bush and Dodge. The balance sheets of the two sole proprietorships are shown below.

The balance sheets reflect fair market values except for the following:
(a) The fair market value of Bush's store equipment is $7,350.
(b) The fair market values of Dodge's office equipment and store equipment are $5,875 and $6,100, respectively.
REQUIRED
Prepare the opening entry for the formation of the Bush and Dodge partnership as of July 1, 20--, using fair market values. The difference between assets invested and liabilities assumed should be credited to each partner's capital account. Neither partner has knowledge of any uncollectible accountsreceivable.

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Bush's Grooming & Pet Supplies Balance Sheet June 30, 20 - Assets Liabilities $4 6 00 00 Notes payable Accounts payable $3 6 00 00 76 90 00 Cash Accounts feceivable $4 200 00 480 00 37 20 00 Total liabilities 28 5 30 00 Less allowance for bad debts $11 290 00 Merchandise inventoly Stofe equipment $9 2 6 0 00 2 400 00 Owner's Equity Less accumulated depfeciation 6 860 00Lisa Bush, capital S43 760 00 Total liabilities and owner's equity 32 47000 $43 760 00 Total assets Wally's Pet World Balance Sheet June 30, 20 -- Assets Liabilities $3 3 50 00 Notes payable $6 0 0 0 00 5500 00 Cash SA 1 50 00 Accounts feceivable Accounts payable 250 00 3900 00 | Total liabilities 27 2 40 00 8 45 00 Less allowance for bad debts $11 500 00 Merchandise inventoly Supplies Office equipment $8 8 3000 34 00 00 so 175 00 42 50 00 54 3000 Less accumulated depfeciation Stofe equipment Owner's Equity 49 25 00 $45 690 00 Wally Dodge, capital Total liabilities and owne's equity Less accumulated depfeciation 34 190 00 $45 690 00 Total assets