Reconstitution of Partnership Firm: Retirement and Death
Question:
X, Y & Z were partners sharing profits and losses in the ratio of 4:3:1. Y retires and gives his share of profit to X for ₹3500 and to Z for ₹2100. What will be the gaining ratio of X and Z?
Options:
3:5
5:3
2:1
4:1
Correct Answer:
5:3
Explanation:
Y share= 3/8 He gives (3500+2100) i.e. 5600 for 3/8th share. Gaining ratio will be= 3500/2100= 5/3 or 5:3