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Question: the post-closing trail balance of two proprietorships on Jan 1 2022 are presented below Sorensen Co Lucas Co cash Dr. 17,000 Cr. Dr. Cr. 14,600 accounts Receivable 21,500 32,000 allowance for doubtful accounts 3700 5400 inventory 32,500 22,400 Equipment 55000 35000 accumulated depreciation equipment Cr. 29,300 Notes Payable Sorensen Capital Lucas Capital Total debits Lucas co 22000 44200 13,400 18300 29100 Total Debits sorensen co 126,000 Credits 126,000 104,000 Cr, 104,000 Sorensen and Lucss decide to form a partnership Crane Co with the following agreed upon valuations for non cash assets Sorensen Co AR 21500 allowance for doubtful accounts 5599 inventory 34,200 equipment 20.500 Lucas Co AR 32,000 AFDC 4900 inventory 24400 Equipment 18300 all cash will be transferred to the partnership, and the partnership will assume all the liabilities of the proprietorships A) prepare separate joiurnal entries to record the transfer of each proprietorship's assets and liabilties to the partnership B) Further, it is agreed that Sorensen will invest an additional 6100 cash and Lucas will invest an additional 23,200 in cash. journalize the additional cash investments by each partner. C) show a classified balance sheet for the partnership on Jan 1 2022

Question: the post-closing trail balance of two proprietorships on Jan 1 2022 are presented below Sorensen Co Lucas Co cash Dr. 17,000 Cr. Dr. Cr. 14,600 accounts Receivable 21,500 32,000 allowance for doubtful accounts 3700 5400 inventory 32,500 22,400 Equipment 55000 35000 accumulated depreciation equipment Cr. 29,300 Notes Payable Sorensen Capital Lucas Capital Total debits Lucas co 22000 44200 13,400 18300 29100 Total Debits sorensen co 126,000 Credits 126,000 104,000 Cr, 104,000 Sorensen and Lucss decide to form a partnership Crane Co with the following agreed upon valuations for non cash assets Sorensen Co AR 21500 allowance for doubtful accounts 5599 inventory 34,200 equipment 20.500 Lucas Co AR 32,000 AFDC 4900 inventory 24400 Equipment 18300 all cash will be transferred to the partnership, and the partnership will assume all the liabilities of the proprietorships A) prepare separate joiurnal entries to record the transfer of each proprietorship's assets and liabilties to the partnership B) Further, it is agreed that Sorensen will invest an additional 6100 cash and Lucas will invest an additional 23,200 in cash. journalize the additional cash investments by each partner. C) show a classified balance sheet for the partnership on Jan 1 2022

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter12: Intangibles
Section: Chapter Questions
Problem 2P
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Question: the post-closing trail balance of two proprietorships on Jan 1 2022 are presented below Sorensen Co Lucas Co cash Dr. 17,000 Cr. Dr. Cr. 14,600 accounts Receivable 21,500 32,000 allowance for doubtful accounts 3700 5400 inventory 32,500 22,400 Equipment 55000 35000 accumulated depreciation equipment Cr. 29,300 Notes Payable Sorensen Capital Lucas Capital Total debits Lucas co 22000 44200 13,400 18300 29100 Total Debits sorensen co 126,000 Credits 126,000 104,000 Cr, 104,000 Sorensen and Lucss decide to form a partnership Crane Co with the following agreed upon valuations for non cash assets Sorensen Co AR 21500 allowance for doubtful accounts 5599 inventory 34,200 equipment 20.500 Lucas Co AR 32,000 AFDC 4900 inventory 24400 Equipment 18300 all cash will be transferred to the partnership, and the partnership will assume all the liabilities of the proprietorships A) prepare separate joiurnal entries to record the transfer of each proprietorship's assets and liabilties to the partnership B) Further, it is agreed that Sorensen will invest an additional 6100 cash and Lucas will invest an additional 23,200 in cash. journalize the additional cash investments by each partner. C) show a classified balance sheet for the partnership on Jan 1 2022
Transcribed Image Text:Question: the post-closing trail balance of two proprietorships on Jan 1 2022 are presented below Sorensen Co Lucas Co cash Dr. 17,000 Cr. Dr. Cr. 14,600 accounts Receivable 21,500 32,000 allowance for doubtful accounts 3700 5400 inventory 32,500 22,400 Equipment 55000 35000 accumulated depreciation equipment Cr. 29,300 Notes Payable Sorensen Capital Lucas Capital Total debits Lucas co 22000 44200 13,400 18300 29100 Total Debits sorensen co 126,000 Credits 126,000 104,000 Cr, 104,000 Sorensen and Lucss decide to form a partnership Crane Co with the following agreed upon valuations for non cash assets Sorensen Co AR 21500 allowance for doubtful accounts 5599 inventory 34,200 equipment 20.500 Lucas Co AR 32,000 AFDC 4900 inventory 24400 Equipment 18300 all cash will be transferred to the partnership, and the partnership will assume all the liabilities of the proprietorships A) prepare separate joiurnal entries to record the transfer of each proprietorship's assets and liabilties to the partnership B) Further, it is agreed that Sorensen will invest an additional 6100 cash and Lucas will invest an additional 23,200 in cash. journalize the additional cash investments by each partner. C) show a classified balance sheet for the partnership on Jan 1 2022
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