May and Jun are partners with profit and loss ratio of 50:50 and capital balances of P300.000 and P400,000, respectively. On June 09, 2022, Julie was admitted into the partnership by investment for a 20% of the total partnership capitalization. However, before the admission of Julie, the partners agreed that the asset "Land" should be revalued from P900,000 to P1,000,000. How much cash is to be invested by Julie?

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter15: Partnership Accounting
Section: Chapter Questions
Problem 3EA: The partnership of Tasha and Bill shares profits and losses in a 50:50 ratio, and the partners have...
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May and Jun are partners with profit and loss ratio of 50:50 and capital balances of P300.000 and P400,000, respectively. On June 09, 2022, Julie was admitted into the partnership by investment for a 20% of the total partnership capitalization. However, before the admission of Julie, the partners agreed that the asset "Land" should be revalued from P900,000 to P1,000,000.

How much cash is to be invested by Julie?

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