A, B & C are partners sharing profits in the ratio of 5:3:2. If B retires, Calculate the new ratio.
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Answer:
7:3
Explanation:
Old Ratio (A, B and C) = 5:3:2
C retires from the firm
His profit share = 2/10
C's share taken by A in entirely
New Ratio = Old Ratio + Share acquired from C
A's New Share = 5/10 + 2/10 = 7/10
B's New Share = 3/10 + 0 = 3/10
New Profit (A and B) = 7:3
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Answer:
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