Question

p q r are parntnrs in a firm sharing profit and losses in the ratio 2:3:4 s is admitted for 20% share in the firm p,q,r would in future sharing profit themselves 3/6 2/6 and 1/6 what is new profit sharing ratio​

Answer 1

Explanation:

Solution :

★ Old Ratio :

P : Q : R = 2 : 3 : 4

• P's Share = 2/9
• Q's Share = 3/9
• R's Share = 4/9

S is admitted for 20% share in the firm.

• Share of S = 20/100

⇒ 20/100 = 1/5

Let,

Total Profit of all Partners in the firm = 1

• S's Share = 1/5

Remaining Share =

1 - 1/5 = 4/5

P,Q and R in future would share profits among themselves as 3/6, 2/6 and 1/6

★ New Profit Sharing Ratio :

• P's new share =

⇒ 3/6 × 4/5 = 12/30

• Q's new share =

⇒ 2/6 × 4/5 = 8/30

• R's new share =

⇒ 1/6 × 4/5 = 4/30

• S's share =

⇒ 1/5 × 6/6 = 6/30

New Profit Sharing Ratio =

• P : Q : R : S
• 12/30 : 8/30 : 4/30 : 6/30

⇒ 12 : 8 : 4 : 6 = 6 : 4 : 2 : 3

Therefore, New profit sharing ratio of P,Q,R and S = 6 : 4 : 2 : 3.