Question

p , q , r and s were partners sharing profits in the ratio of 5:4:3:1 . P and S retire from the firm . calculate the gaining ratio and new profit sharing ratio of Q and R​

Answer 1

New PSR of P,Q and R will 5:4:3 as S retires for 1/4th share.

Calculation of gaining ratio -

New Ratio - Old Ratio = Gain/sacrifice

P= 5/12 - 5/13 = 65-60/156 = 5/156 (gain)

Q= 4/12 - 4/13 = 52-48/156 = 4/156 (gain)

R= 3/12 - 3/13 = 39-36/156 = 3/156 (gain)

S= 0 - 1/13 = -1/13 or -13/156 (sacrifice)

So, gaining ratio of P,Q and R is

5:4:3