Das and Sinha are partners in a firm sharing profits in 4:1 ratio. They admitted Pal as a new partner for 1/4th share in the profits, which he acquired wholly from Das. The new profit sharing ratio of the partners is-
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → 11:4:5
Old shares — Das = 4/5, Sinha = 1/5.
Pal is admitted for 1/4, taken entirely from Das
⇒ Das’ new share = 4/5 − 1/4
= 16/20 − 5/20
= 11/20.
Sinha unchanged = 1/5 = 4/20;
Pal = 1/4 = 5/20.
Hence new ratio Das : Sinha : Pal = 11 : 4 : 5.