Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Admission of a Partner

Question:

A & B are partners in a partnership firm and sharing profits in a 4:3. C is admitted as a partner with new ratio 4:3:2. Find out the sacrificing ratio?

Options:

4:2

4:5

1:1

4:3

Correct Answer:

4:3

Explanation:

The correct answer is option 4- 4:3.

OLD RATIO = 4:3 (A & B)
NEW RATIO = 4:3:2 (A, B & C)

Sacrifice share = Old share -New share

Sacrifice of A = 4/7-4/9
                     = (36-28)/63
                     = 8/63

Sacrifice of B = 3/7-3/9
                     = (27-21)/63
                     = 6/63

So, sacrificing ratio = 8/63:6/63
                               = 8:6 or 4:3