CHAPTER 12 PROBLEMS: SET C P12-1C The post-closing trial balances of two proprietorships on January 1, 2017, are presented below. Prepare entries for formation of a partnership and a balance sheet. Wonder Com Price Company LO1.2) LS Cr Dr $6,000 23,000 Cr Cash Accounts receivable Allowance for doubtful accounts Inventory Equipment Accumulated depreciation-equipment Notes payable Accounts payable Wonder, capital Price, capital $ 9,500 15,000 $2,500 $ 4,000 28,000 50,000 17,000 30,000 13,000 37,000 22,000 $102,500 $102,500 $76,000 $76,000 24,000 25,000 20,000 31,000 Wonder and Price decide to form a partnership, Wonder-Price Company, with the follow- ing agreed upon valuations for noncash assets. Accounts receivable Allowance for doubtful accounts Inventory Equipment Wonder Company $15,000 3,500 32,000 28,000 Price Company $23,000 5,000 21,000 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 Wonder will invest an addi tional $3,000 in cash, and Price will invest an additional $13,000 in cash. Instructions (a) Prepare separate journal entries to record the transfer of each proprietorship's assets (a) Wonder, Capital $36,000 Price, Capital $26,000 and liabilities to the partnership. (b) Journalize the additional cash investment by each partner (c) Prepare a balance sheet for the partnership on January 1, 2017 (c) Total assets $160,000