Practicing Success
A and B are partners in a firm sharing profit in 4 : 1 ratio. They admitted "C" as a new partner for 25% share in the profit, which he acquired wholly from A. Determine the new profit sharing ratio. |
11 : 4 : 5 4 : 1 : 1 3 : 1: 1 8 : 1 : 1 |
11 : 4 : 5 |
The correct answer is option 1- 11 : 4 : 5. Old ratio = 4:1 A sacrifice = 1/4 B's new share = old share = 1/5 C's new share = 1/4 New ratio = 11/20 : 1/5 :1/4 |