A and B are partner sharing profit and loss in the ratio 4:3 they admit c into the partner the new profit sharing ratio is 7:4:3 respectively find sacrifice ratio of the old partner
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Answer:
The sacrifice ratio of A and B = 1 : 2.
Explanation:
Solution :
★ Old Ratio :
A : B = 4 : 3
- A's Share = 4/7
- B's Share = 3/7
They admit C into the partnership.
The new profit sharing ratio is 7 : 4 : 3 respectively.
★ New Profit Sharing Ratio :
A : B : C = 7 : 4 : 3
- A's New Share = 7/14
- B's New Share = 4/14
- C's Share = 3/14
★ Sacrifice Ratio :
Sacrifice Ratio = Old Ratio - New Ratio
• A's Sacrifice =
⇒ 4/7 - 7/14 = (8 - 7)/14
⇒ 1/14
• B's Sacrifice =
⇒ 3/7 - 4/14 = (6 - 4)/14
⇒ 2/14
Sacrifice Ratio =
- A : B
- 1/14 : 2/14
⇒ 1 : 2
Therefore, The sacrifice ratio of A and B = 1 : 2.
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