X, Y & Z are partners sharing profit and losses in ratio of 5:4:1. Calculate new profit-sharing ratio if Z acquires 1/5th share from X?
Answer & explanation
Correct answer: option 1
Z acquires 1/5th from X
So Z share is 1/10+ 1/5= 3/10
X Share = 5/10- 1/5=3/10
Y share= 4/10
So the new ratio is 3/10:4/10:3/10 or 3:4:3