Question

1
A and B are partners in a firm sharing profits and lowes in the ratio of 1:1. C is admitted
A surrenders 1/4* share and B surrenders 1/5th of his share in favour of C. Calculate se
new profit sharing ratio.​

Answer 1

Answer:

15:16:9

Explanation:

a's sacrifice = 1/4 × 1/2 =1/8

b's sacrifice = 1/5×1/2 = 1/10

now,

a's new share = 1/2 - 1/8 =3/8 = 15/40

b's new share = 1/2 - 1/10 = 4/10 =16/40

c's new share = 1/8+1/10= 9/40

so, new profit Sharing ratio becomes 15:16:9