A,B and C are partner sharing profits in 2:2:1ratio admitted D for 1/8 share which he acquired entirely from A. Calculate new profit ratio?
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here new partner D acquire his share entirely from partner A
hence , we can say that A sarify 1/8 share
and we know that to find new ratio we need to substract sacrifycing ratio from old ratio
so new ratio will be
A = 2/5 - 1/8 = 11/40
B =2/5 × 8/8 = 16 /40
C = 1/5 × 8/8 = 8/40
D = 1/8 × 5/5 = 5/40
so the new ratio will be
A : B : C : D
11 : 16 : 8 :5
NOTE ; we multiply the value of D's share with 5 because we need to keep the denominator same for finding ratio.
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