Red, White, and Blue form a partnership on May 1,2013. They agree that Red will contribute office

equipment with a total fair value of P40,000; White will contribute delivery equipment with a fair

value of P80,000; and Blue will contribute cash. If Blue wants a one third interest in the capital

and profits, he should contribute cash

of:

a.

P 40,000

c. P60,000

b. P120,000

d. P180,000

Guerrero 2013