Question

14. X, Y and Z were partners sharing profits in the ratio 2:3:4 with effect from 1st January, 2019 they agreed to share profits in the ratio 3:4:5. Each partner's gain or sacrifice due to change in the ratio will be.
​

Answer 1

Explanation:

Solution :

X, Y and Z were partners sharing profits in the ratio 2:3:4

Old Ratio =

X : Y : Z = 2 : 3 : 4

They agreed to share profits in the ratio 3:4:5

New Ratio =

X : Y : Z = 3 : 4 : 5

Sacrificing or Gain Ratio = Old Ratio - New Ratio

X = 2/9 - 3/12

= 8 - 9/36

= - 1/36 ------- (Gain)

Y = 3/9 - 4/12

= 12 - 12/36

= 0

Z = 4/9 - 5/12

= 16 - 15/36

= 1/36 ------ (Sacrifice)

Hence, Each partner's gain or sacrifice due to change in the ratio will be

X = 1/36 (Gain)

Y = Nil

Z = 1/36 (Sacrifice)