Question

A:B:C are the partners sharing profit and losses in the ratio 5:3:2.D is admitted in
the firms as partner with 1/5 share. Calculate new profit sharing ratio as well as
sacrificing ratio *
O
10:6:4:5 and 5:3:2
10:6 2:5 and 5:12
56:45 and 5.3.2
10:6:4:1 and 5:3:2​

Answer 1

Answer:

New profit sharing ratio =

A : B : C : D = 10 : 6 : 4 : 5

Sacrificing ratio =

A : B : C = 5 : 3 : 2

Explanation:

Given :

old Ratio :

A:B:C = 5:3:2

To find :

New profit sharing ratio

Sacrificing ratio

Solution :

D is admitted in the firms as partner with 1/5 share

Let, total Profit share = 1

So,

D's Share = 1/5

Remaining Share :

1 - 1/5 = 4/5

A's new share =

4/5 × 5/10 = 20/50

B's new share =

4/5 × 3/10 = 12/50

C's new share =

4/5 × 2/10 = 8/50

D's share =

1/5 = 10/50

New profit sharing ratio =

A : B : C : D = 20/50 : 12/50 : 8/50 : 10/50

20 : 12 : 8 : 10 = 10 : 6 : 4 : 5

New profit sharing ratio =

A : B : C : D = 10 : 6 : 4 : 5

Sacrificing ratio :

Sacrificing ratio = Old ratio - New ratio

A's Sacrifice =

5/10 - 20/50 = 5/50

B's Sacrifice =

3/10 - 12/50 = 3/50

C's Sacrifice =

2/10 - 8/50 = 2/50

Sacrificing ratio =

A : B : C = 5/50 : 3/50 : 2/50 = 5 : 3 : 2

∴ New profit sharing ratio =

A : B : C : D = 10 : 6 : 4 : 5

Sacrificing ratio =

A : B : C = 5 : 3 : 2