Mr. A and Ms. B formed a partnership and agreed to divide initial capital equally even though Mr. A contributed P100,000 Ms. B contributed P84,000 in identifiable assets.

4. The partners agreed that the difference in the amount of contribution and the amount of credit to the partner's capital shall be treated as compensation for the expertise that the partner will be bringing to the partnership. How much is the initial capital balance of Ms. B? a. 84,000 c. 100,000 b. 92,000 d. 102,000