Adjustments

Allowance for doubtful Accounts -45,000

Increase in inventories (1.7M-1.65M) 50,000
Accrued Expense -40,000
Total decrease in capital -35,000
(to be distributed using Sharing profit ratio of Resulta and Magpantay)

Computation:
Resulta, Capital 1,330,000
Less: Adjustment (35,000 x 60%) 21,000
1,309,000

Magpantay, Capital 1,080,000

Less: Adjustment (35,000 x 40%) 14,000
Adjusted Capital 1,066,000
Total Adjusted Capital 2,375,000
Divided by: Combined new profit Ratio 80%
Total parnertship Capital after admission of Tria 2,968,750
Multiplied by: Percentage ownership of Tria 20%
Cash to be invested by Tria 593,750

Contributed Capital Settlement Agreed Capital

Gonzaga 1,309,000 175,375 1,484,375 50%
Magada 1,066,000 -175,375 890,625 30%
Padilla 593,750 0 593,750 20%
Total 2,968,750 0 2,968,750
*Resulta has to pay Magpantay an amount equal to 175,375 outside the partnership