On Jan. 1, 2019, the business assets and liabilities of FRANK and ELIJAH were as follows:

FRANK ELIJAH

Cash P28,000 P62,000

Receivables 200,000 600,000

Inventories 120,000 200,000

Land, buildings,

and equipment 650,000 535,000

Other assets 2,000 3,000

Accounts

payable (180,000) (250,000)

Notes payable (200,000) (350,000)

FRANK and ELIJAH agreed to form a partnership by contributing their net assets, subject to the following adjustments:

• Receivables of P 20,000 in FRANK's books and P 40,000 in ELIJAH's books are uncollectible
• Inventories of P 6,000 and P 7,000 in the respective books of FRANK and ELIJAH are worthless.
• Other assets in both books are to be written off.

REQUIRED:

1. If the partner agreed to revalue assets to maintain 40:60 capital ratio for FRANK and ELIJAH respectively, how much is the adjusted capital of FRANK?

2. If the partner agreed to revalue assets to maintain 40:60 capital ratio for FRANK and ELIJAH respectively, how much is the adjusted capital of ELIJAH?

3. If the partner agreed to effect revaluation down of assets to maintain 40:60 capital ratio for FRANK and ELIJAH respectively, how much is the adjusted capital of FRANK?

4. If the partner agreed to effect revaluation down of assets to maintain 40:60 capital ratio for FRANK and ELIJAH respectively, how much is the adjusted capital of ELIJAH?