Problem $1($Recommended: review slides $6-17)$

Car and Lam establish an equal partnership in both equity and profits to operate a used$-$furniture business under the name $$C&L Furniture.$$ Car contributes furniture inventory, which costs $$120,000$ and has fair value of $$160,000.$ Lam contributes $$60,000$ cash and delivery equipment, which costs $$80,000$ and has a fair value of $$60,000.$

$1.$ Compute the ending balance of Car$$s Capital account under the bonus approach.

$2.$ Compute the ending balance of Lam$$s Capital account under the bonus approach.

$3.$ Compute the ending balance of Car$$s Capital account under the goodwill approach.

$4.$ Compute the ending balance of Lam$$s Capital account under the goodwill approach.