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On January 1, 2020, A & B formed a partnership. A invested P150,000 while B invested inventories costing P300,000. The fair market value of inventories were P250,000. A and B share 4:6 in the profit and loss, respectively. On July 1, 2020, C was admitted to the partnership when he purchased 20% interest in the net assets and profits of the firm from A for P100,000. The net assets of the firm as of this date approximate their fair value.
Problem 1: How much is the capital credit of C after admission?
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