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

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 $5,000 in cash, and Lucas will invest an additional $19,000 in cash.

Instructionsa. Prepare separate journal entries to record the transfer of each proprietorship?s assets and liabilities to the partnership.b.?Journalize the additional cash investment by each partner.c. Prepare a classifi ed balance sheet for the partnership on January 1, 2022.

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Lucas Company Sorensen Company Dr. Cr. Dr. Cr. $ 14,000 Cash $12,000 Accounts receivable 17,500 26,000 $ 3,000 Allowance for doubtful accounts $ 4,400 Inventory Equipment Accumulated depreciation-equipment Notes payable Accounts payable Sorensen, capital Lucas, capital 18,400 26,500 29,000 45,000 24,000 11,000 18,000 15,000 22,000 31,000 36,000 24,000 $85,400 $103,000 $103,000 $85,400 Sorensen and Lucas decide to form a partnership, Solu Company, with the following agreed upon valua- tions for noncash assets. Sorensen Company Lucas Company Accounts receivable $17,500 $26,000 Allowance for doubtful accounts 4,500 4,000 Inventory Equipment 20,000 28,000 15,000 25,000