A and B are partners sharing profits and losses in the ratio 3 : 2. They admitted Z for 1/8th share. Z got this share as 1/16 from A and 1/16 from B. Calculate sacrificing ratio of A and B.
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → 1 : 1
Z's share comes from A and B in the ratio of 1/16 : 1/16, which simplifies to 1 : 1. So, Z's share is equally divided between A and B. So, sacrificing ratio is 1:1.