Jack Tyler operates a store that sells computer software. Tyler has agreed to enter into a partnership with Oliver Preston, effective January 1, 20X1. The new firm will be called Global Computing. Tyler is to transfer all assets and liabilities of his firm to the partnership at the values agreed on. Preston will invest cash that is equal to 70 percent of Tyler's investment after revaluation. The accounts shown on Tyler's books and the agreed-on value of assets and liabilities are shown below. Balances Value Shown in Agreed to Tyler's by Records Partners Assets Transferred Cash $ 36,000 $ 36,000 Accounts Receivable. $110,000 Allowance for Doubtful Accounts 3,600 Merchandise Inventory Furniture and Equipment 112,000 106,400 105,000 346,000 361,000 71,000 Accumulated Depreciation. 46,000 Total Assets 66,000 $554,400 $573,000 Liabilities and Owner's Equity Transferred Accounts Payable Jack Tyler, Capital 56,000 56,000 $498,400 $517,000 Required: 1. Prepare the general journal entries to record the following transactions in the books of the partnership on January 1, 20X1: a. Receipt of Tyler's investment of assets and liabilities. b. Receipt of Preston's investment of cash. 2. Prepare a balance sheet for the partnership as of the beginning of its operations on January 1, 20x1. Analyze: Based on the balance sheet you have prepared, what percentage of total equity is owned by Jack Tyler?