X and Y are in partnership sharing profits and losses equally. They have combined capital account balances of $\$ 200000$.
Z was admitted as a partner. Non-current assets were revalued upwards by $\$ 30000$. Goodwill was valued at $\$ 20000$ but was not to be retained in the books of account.
Following Z’s admission the total of the partners’ capital accounts was $\$ 270000$.
How much capital did Z contribute?
1 )
$\$ 20000$
$\$ 40000$
3 )
$\$ 50000$
4 )
$\$ 70000$
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