Given:
Capitals = 4,00,000 + 3,00,000 + 2,00,000 = 9,00,000
Liabilities = 80,000
Cash = 40,000
Sundry Assets = 8,50,000
Concept:
Balance Sheet Equation:
Assets = Liabilities + Capital
Calculation:
Assets = 8,50,000 + 40,000 + P&L
Liabilities = 9,00,000 + 80,000
So,
8,90,000 + P&L = 9,80,000
P&L = 9,80,000 − 8,90,000
P&L = 90,000 (Option 2)