Question

A and B were partners in a firm sharing profit and loss in the ratio 3:1. they admitted C as a new partner 10% share in the profit and loss. calculate the new profit sharing ratio between A,B and C​

Answer 1

Answer:

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Answer 2

27:9:4

Explanation:

Given:

Profit and Loss ratio of A and B = 3:1

C is admitted for 10% = 10/100 = 1/10

Computation:

Remain Profit and Loss Ratio  = 1 - (1 / 10)

                                                  = 9/10

Split 1/10 between A and B in (3:1)

A's Profit and loss Ratio = 9/10 x 3/4

                                       = 27/40

B's Profit and Loss Ratio = 9/10 x 1/4

                                        = 9/40

Compare A:B:C -----  27/40 : 9/40 : 1/10

= A:B:C = 27 : 9 : 4

Therefore, New Profit and loss ratio = 27:9:4

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