Question

A and B are partners sharing profit and losses in ratio 3:2.they admit C as a partner by giving him ⅓ share in future profits.the new share will be​

Answer 1

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Answer 2

Explanation:

Solution :

A : B = 3 : 2

A's share = 3/5

B's share = 2/5

They admit C as a partner by giving him ⅓ share in future profits

Let,

Total Profit of all Partners = 1

C's share = 1/3

Remaining share =

1 - 1/3 = 2/3

New profit sharing ratio :

A's new share =

2/3 × 3/5 = 6/15

B's new share =

2/3 × 2/5 = 4/15

C's share =

1/3 × 5/5 = 5/15

New profit sharing ratio :

• A : B : C
• 6/15 : 4/15 : 5/15

6 : 4 : 5

Therefore, New profit sharing ratio will be

A : B : C = 6 : 4 : 5