11. On June 1, 2008 May and Nora formed a partnership. May is to invest assets at fair value which are yet to be agreed upon. She is to transfers her liabilities and is to contribute sufficient cash to bring her total capital to P210,000 which is 70% of the total capital of the partnership. Details regarding the book values of May's business assets and liabilities and their corresponding valuations are: Book values Agreed valuations Accounts receivable P58.000 P58,000 Allowance for doubtful accounts 4,200 5,000 Merchandise inventory 98,400 107,000 Store equipment 32,000 32,000 Accumulated depreciation-Store equipment 19,000 16.400 Office equipment 27,000 27,000 Accumulated depreciation-office equipment 14.200 8,600 Accounts payable 56,000 56.000 Nora agrees to invest cash of P42,000 and merchandise valued at current market price. The value of the merchandise to be invested by Nora and the cash to be invested by May are: a. P90,000 and P62,000 respectively b. P252,000 and P138,000 respectively C. P48,000 and P138,000 respectively d. P48,000 and P62,000 respectively