Brian Calwell and Adriana Estrada have operated a successful firm for many years, sharing net income and net losses equally

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Brian Calwell and Adriana Estrada have operated a successful firm for many years, sharing net income and net losses equally. Kris Marys to be admitted to the partecip on September 1 of the current year, in accordance with the following agreement: Assets and liabilities of the old partnership are to be valued at their book values as of August 31. cept for the following: • Accounts receivable amounting to $2.800 are to be written off and the allowance for doubtful account is to be increased to ss of the remaining accounts • Merchandise Inventory is to be valued at 170,600 • Equipment is to be valued at $162 100. Mays is to purchase $67,000 of the ownership interest of Estrada for $73,000 cash and to contribute $36.000 cash to the partnership for a total ownership equity of $103.000 The post-closing trial balance of Caldwell and Estrada as of August 31 follows: Caldwell and Estrada Post-Closing Trial Balance August 31, 2019 Debit Balances Credit Balances 7.000 Accounts Receivable 5.000 Allowance for Doubtful Accounts 1.600 Merchandise Inventory 66,000 2.450 Prepaid Insurance Equipment Accumulated Depreciation Equipment 188.000 58,300 15.500 Accounts Payable Notes Payable (current) Brian Caldwell, Capital Adriana Estrada, Capital 14.000 100,000 57.000 305,400 306.400 Required: 1. Journals the entries as of August 31 to record the evaluations, using temporary account anticed Asset evaluations. Debits and credits to the asset revaluations account are fosses and gains from revaluation, respectively. The balance in the accumulated depreciation account is to be eliminated. After journalizing the evaluations, dose the balance of the revolutions account to the capital accounts of Brian Caldwell and Adriana Estrada. If an amount box does not require an entry leave it back Aug 31 Accounts Receivable Aug 31 Merchandise Inventory Aug 31 Eument
cool Aug. 31-Close 100 2. Journalise the additional entries to record Mays entrance to the partnership on September 1, 2009. If an amount box does not require an entry, leave it blank Sept. 1-Purchase capital Sept. 1-Contribute cash 3. Present a balance sheet for the new partnership as of September 1, 2019 Caldwell, Estrada, and Mays Balance Sheet September 1, 2019 Current assets Total current assets Property, plant, and equipment: Totat assets Current abilities Total liabilities Partners Equity O DOO 10 Total partners equity Totabilities and partners' equity