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May, Two, and Low, sharing profits and losses in the ratio of 50:30:20, have capital credit balances of P400,000; P300,000 and P200,000, respectively. They decided
May, Two, and Low, sharing profits and losses in the ratio of 50:30:20, have capital credit balances of P400,000; P300,000 and P200,000, respectively. They decided to admit Nose as a new partner for a 30% interest in the partnership upon Noses investment of an amount equal to five-sixths of his capital credit with no asset adjustment to be recognized.
Immediately after the admission of Nose, how much will be the capital credit balance of Two?
A. 300,000
B. 282,000
C. 270,000
D. 250,000
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