Sunil and Ravi are partners in a firm sharing profits in the ratio of 3:1. Amar is admitted for 1/4 share. The Sacrificing ratio of Sunil and Ravi is
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → 3:1
When nothing is said about how the new partner acquires his share, he is taken to acquire it from the old partners in their old profit sharing ratio. Each old partner's sacrifice is his old share minus his new share.
Amar's share = 1/4; remaining share = 1 − 1/4 = 3/4
Sunil's new share = 3/4 × 3/4 = 9/16; old share = 3/4 = 12/16; sacrifice = 3/16
Ravi's new share = 3/4 × 1/4 = 3/16; old share = 1/4 = 4/16; sacrifice = 1/16
Sacrificing ratio of Sunil and Ravi = 3/16 : 1/16 = 3 : 1
The sacrificing ratio equals the old ratio here, because the share for Amar comes from the old partners in their old ratio.