Question

Illustration 17 (New Profi-sharing Ratio)
A, B and Care partners sharing profits in the ratio of 4:3:1. B retires, giving his shan
profits to A and C for 8.100-13.00 being paid by A and 4,500 by C. Profit for the year
B's retirement was 10,500
You are required to give necessary Joumal entries to record the transfer of B's share
A and C (u) to calculate new profit-sharing ratio and distribute the profits between A and
A and C bring the necessary amount.​

Answer 1

Answer:

A, B and C are partners sharing profits in the ratio of 4:3:2. B retires. A and C decide to share profits in the future in the ratio of 5:3. The gaining ratio will be