Jesse and Tim form a partnership by combining the assets of their separate businesses. Jesse contributes accounts receivable with a face amount of $46,000 and equipment with a cost of $177,000 and accumulated depreciation of $100,000. The partners agree that the equipment is to be valued at $67,700, that $3,900 of the accounts receivable are completely worthless and are not to be accepted by the partnership, and that $1,700 is a reasonable allowance for the un collectability of the remaining accounts receivable. Tim contributes cash of $21,500 and merchandise inventory of $45,000. The partners agree that the merchandise inventory is to be valued at $48,500. 

Journalize the entries in the partnership accounts for

(a) Jesse’s investment and 

(b) Tim’s investment. If an amount box does not require an entry, leave it blank.

Answer rating: 100% (QA)

Solution Date Date Account Accounts Receivable 460003900 ... View the full answer