Anita and Sunita are the partners in a firm Sharing profit ratio of 5:2They admit Babita as a new partner as a new partner for 1/7Th Share in profit ratio 4:2:10calculate sacrifice ratio
Answers
Answer:
Explanation:
Given data:
Anita and Sunita are partners in a firm, sharing profits and losses in the ratio 5:2.
Vinita is admitted for 1/7th of the shares.
The new profit-sharing ratio for Anita and Sunita is 4:2:1.
To find: The sacrificing ratio.
Answer:
Anita's old share = 5/7
Sunita's old share = 2/7
Anita's new share = 2/5
Sunita's new share = 1/5
Vinita's share = 1/7
Let the total profit be assumed as 1.
The remaining share [For Anita and Sunita] = 1 - 1/7 = 5/7
The remaining share will be distributed among Anita and Sunita in their new profit-sharing ratio.
Calculation of the new profit-sharing ratio:
New ratio = Remaining share × New ratio
For Anita:
New ratio = 5/7 × 2/5 = 10/35
For Sunita:
New ratio = 5/7 × 1/5 = 5/35
For Vinita:
New ratio = 1/7, or 5/35
Therefore, the new profit-sharing ratio is 10:5:5.