The capital accounts of Choji and Sydney at the end of the 2020 are as follows: Choji Sydney January 1 balance P500,000 P 350,000 Investment March 28 100,000 June 26 50,000 Withdrawal June 30 50,000 Oct. 1 15,000 The partnership has a credit balance of P 230,000 in the income summary account.S and D formed a partnership by converting both their sole proprietorship business on January 1,2020. Cash and non-cash assets are to be contributed for a total capital of P 550,000. The non- cash assets to be contributed and the liabilities to be assumed are: S D Book value Fair value Book value Fair value Accounts receivable P 40,000 50,000 P 70,000 P 80,000 Office Supplies 15,000 10,000 25,000 30,000 Property & 75,000 40,000 170,000 150,000 equipment Accrued Expenses 30,000 30,000 20,000 20,000 S and D capital will be in the ratio of 40:60, respectively after all the contribution of the assets and the assumption of liabilities