Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Reconstitution of Partnership Firm: Retirement and Death

Question:

P, Q & R are partners in a partnership firm named RAWAT SOLUTIONS and share profits in the ratio of 4:3:1. Q retires and sold his share of profits to other partners for ₹8,100. ₹3,600 was paid by P and ₹4,500 was paid by R. Profit of the year after Q's retirement is ₹10,500.

What will be the gaining ratio?

Options:

1:2

4:5

5:4

2:1

Correct Answer:

4:5

Explanation:

The correct answer is option 2- 4:5.

As both the partners acquire share of Q for the total 8,100 in which P paid 3,600 and R paid 4,500. So, the gaining ratio between them is 3,600 : 4,500 i.e. 4:5.